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Suppose Nabisco Corporation just issued a dividend of $2.86 per share yesterday. Subsequent dividends will...

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Finance

Suppose Nabisco Corporation just issued a dividend of $2.86 per share yesterday. Subsequent dividends will grow at a constant rate of 7.3% indefinitely. If the required rate of return for this stock is 10.98% , what is the value of a share of common stock today?

What is the value of a share of preferred stock that promises to pay $3.62 every year, indefinitely, if you have a required rate of return of 12%?

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