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problem: Company A and B have time zero EBIT of $1,000. The required return on equity for both of these unlevered companies is 10%. The marginal corporate tax rate is 34 percent. Company C has a dividend payout ratio of 20% & a dividend growth rate of 8 percent. Company D has a dividend payout ratio of 80% & a dividend growth rate of 4%. Find each company expected dividend at the end of the next year?

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