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Business, 20.02.2020 22:56 genyjoannerubiera

A firm's current profits are $400,000. These profits are expected to grow indefinitely at a constant annual rate of 4 percent. If the firm's opportunity cost of funds is 6 percent, determine the value of the firm

(a) the instant before its pays out current profits as devidens
(b) the instant after its pays out current profits as devidens

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