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A firm does not pay a dividend. It is expected to pay its first dividend...

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Finance

A firm does not pay a dividend. It is expected to pay its first dividend of $0.30 per share in 2 years. Starting following year, this dividend will grow at 10 percent indefinitely. Using a 12 percent discount rate, compute the value of this stock. a. $2.35 b. $16.50 c. $15.00 d. $11.96 e. $13.39

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