Probleminvestors require a 18 rate of return on brooks, Ask an Expert

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Investors require a 18% rate of return on Brooks Sisters' stock (rs = 18%). What would the value of Brooks's stock be if the previous dividend was D0 = $2.75 and if investors expect dividends to grow at a constant compound annual rate of (1) - 4%, (2) 0%, (3) 3%, or (4) 12%? Please provide all description.

A. 1.$

B. 2.$

C. 3.$

D. 4.$

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