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Business, 02.03.2020 19:16 canonmille2

Orwell Building Supplies' last dividend was $1.75. Its dividend growth rate is expected to be constant at 25% for 2 years, after which dividends are expected to grow at a rate of 6% forever. Its required return (r s) is 12%. What is the best estimate of the current stock price? a. $42.64 b. $45.92 c. $44.80 d. $41.58 e. $43.71

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Orwell Building Supplies' last dividend was $1.75. Its dividend growth rate is expected to be consta...
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