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QUESTION 13 20 points Save Answe A company currently pays a dividend of S4 per...

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QUESTION 13 20 points Save Answe A company currently pays a dividend of S4 per share Do=S4). It is estimated that the company's dividend will grow at a rate of 10% per year for the next 3 years and then a constant rate of 5% thereafter. The company's stock has a beta of 1.5, the risk-free rate is 4%, and the market risk premium is 4%. a. What is the company's required rate of return on its stocks? (5 points) b. What are the expected dividends for Year 1. Year 2, Year 3, and Year 4? (5 points) c. What is the company's horizon value on Year 3? (5 points) d. What is the estimate of the stock's current price? (5 points)

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