CENGAGE MINDTAP h 08: Assignment - Basic Stock Valuation Fack to Assignment Attempts Keep the Highest / 4 6. Constant growth stocks Consider the case of Urban Drapers Inc. Urban Drapers Inc., a drapery company, has been successfully doing business for the past 15 years. It went public eight years ago and has been paying out a constant dividend of 52.56 per share every year to its shareholders. In its most recent annual report the company informed imiestors that it expects to maintain its constant dividend into the foreseeable future and that dividends are not expected to increase, If you are an investor who requires a 12.44% rate of return and you expect dividends to remain constant forever, then your expected valuation for Urban Drapers stock today per share. (Note: Round your answer to the decimal places. Urban Drapers has a sister company named Super Carpeting Inc. (SCI). SCI Just paid dividend of $1192 per share, and its annual dividend is expected to grow at a constant rate (L) of 4.00 per year. If the required return on Ss stocks 10.009, then the intrinsic value of SCI shares pershare. Note: Do not round intermediate calculations. Round your finaler to two decimal Which of the following statements is true about the content ordene growth model When using constant growth model to any others in the neared rate ofrece are there these this will end to decreased the ering contant growth mode to ensured at the the there that createst