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Business, 12.08.2020 05:01 SunsetPrincess

ABC Corporation produces goods that are very mature in their product life cycles. ABC Corporation is expected to pay a dividend in year 1 of $1.00, a dividend of $0.90 in year 2, and a dividend of $0.85 in year 3. After year 3, dividends are expected to decline at a rate of 2% per year. An appropriate required rate of return for the stock is 8%. The stock should be worth:

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ABC Corporation produces goods that are very mature in their product life cycles. ABC Corporation is...
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