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Fincorp will pay a year -end dividend of $2.40 per share, which is expected to grow at a 4% rate for the indefinite future.

The discount rate is 12%. (L02)

a- What is the stock selling for?

b- If erarnings are $3.10 a share, What is the implied value of the firm's growth opportunities?

Basic Finance, Finance

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  • Reference No.:- M944109

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