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Business, 27.06.2021 14:00 cbaldwin6605

Assume that IBM is expected to pay a total cash dividend of $5.60 next year and that dividends are expected to grow at a rate of 5% per year forever. Assuming annual dividend payments, what is the current market value of a share of IBM stock if the required return on IBM common stock is 10%?

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Assume that IBM is expected to pay a total cash dividend of $5.60 next year and that dividends are e...
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