Elaine and James are looking to put a value on a share that they are both interested

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Elaine and James are looking to put a value on a share that they are both interested in. They both require a rate of return on their investment of 13%. Elaine uses the constant dividend model and believes that the share will continue to pay its current annual dividend of $3. James uses the constant growth of dividends model and believes that the dividends will grow at the rate of 4% per year. The values that Elaine and James estimate are, respectively: answer choices $23.08 and $23.08. $23.08 and $33.33. $23.08 and $24.00. $23.08 and $34.67

Posted Date: May 20, 2024 01:05 AM

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Elaine and James are looking to put a value on a share that they are both interested

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