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Business, 22.12.2020 22:20 zakarycrane8101

Suppose that in 2020 the expected dividends of the stocks in a broad market index equaled $240 million when the discount rate was 8% and the expected growth rate of the dividends equaled 6%. Using the constant-growth formula for valuation, if the discount rate increases to 9%, the value of the broad market index will change by .

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Suppose that in 2020 the expected dividends of the stocks in a broad market index equaled $240 milli...
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