4. (TCO E) Constant growth stock The last dividend paid by XYZ Company was $1.00. XYZs growth rate is expected to be a constant 5 percent. XYZ’s required rate of return on equity (ks) is 10 percent. What is the current price of XYZ’s common stock? (Points: 25)
(TCO E) Constant growth stock The last dividend paid by XYZ Company was $1. XYZs growth rate is expected to be a constant 5 percent.
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