Question 24 2 pts Llano's stock is currently selling for $50.00. The expected dividend one year...

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Answer 1

Answer #1

This question requires application of constant growth dividend discount model according to which: Po - Divi T-9 Po = Price of

50 = 0.08 一9

0.08 - g = 2/50

0.08 - g = 0.04

g = 0.04

g = 4.00%

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Answer 2

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