A stock is expected to pay its first annual dividend 5 years from now. If...

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A stock is expected to pay its first annual dividend 5 years from now. If that dividend will be $2.50 and dividends after that are expected to grow at 3% per year, what is the stock worth today given a 12% required return? QUESTION 5 A stock is expected to pay annual dividends of $3,$4,$5,$6, and $7 over the next five years, respectively. If you belleve you will be able to sell the stock for $100 in 5 years (immediately after recelving the $7 dividend specified previously), what is the value of the stock today if the risk-free rate is 5%, the market risk premium is 4.5%, and the stock has a beta of 1.8 ? QUESTION 6 If you are able to buy the stock in the previous question for $62 today, what annual rate of retum will you eam if you receive the dividends and sale price five years from now as expected? Formating: Enter 20.57 for 20.57%

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