A rural telephone operator has a large number of landline customers. As the use of...
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Accounting
A rural telephone operator has a large number of landline customers. As the use of landline phones decline dramatically, the firm has decided to cut its dividend every year by 2.4% indefinitely (ie. a negative growth rate). The most recent dividend the firm paid was $1.80 per share. Assuming a required rate of return of 7.6%, which of the following is the best estimate of the firm's current fair value? $17.57 $15.84 $18.00 $13.68
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