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use the equation Pv1-5=DIV1/rE-Gx(1-(1+g/1+rE)^n) to find value of dividend payments OVE = Homework:...

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imageuse the equation Pv1-5=DIV1/rE-Gx(1-(1+g/1+rE)^n) to find value of dividend payments
OVE = Homework: HW #5 Score: 0 of 1 pt 4 of 10 (3 complete) HW Score: 30%, 3 of 10 pts My P7-18 (similar to) Question Help Assume Gillette Corporation will pay an annual dividend of 50.62 one year from now. Analysts expect this dividend to grow at 11.6% per year thereafter until the 5th year. Thereafter, growth will level off at 1.5% per year. According to the dividend-discount model, what is the value of a share of Gillette stock if the firm's equity cost of capital is 8.7% The value of Gillette's stock is $ 12.07. (Round to the nearest cont.)

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