Question: please answer question 17 and 19 thank you 17. Supernormal Growth (LO1) Duffs Co. is growing quickly. Dividends are expected to grow at a 24%
17. Supernormal Growth (LO1) Duffs Co. is growing quickly. Dividends are expected to grow at a 24% rate for the next three years, with the growth rate falling off to a constant 6% thereafter. If the required return is 11% and the company just paid a $1.90 dividend, what is the current share price? 18. Supernormal Growth (LO1) Rabbit Town Corp. is experiencing rapid growth. Dividends are expected to grow at 30% per year during the next three years, 20% over the following year, and then 6% per year indefinitely. The required return on thi stock is 10%, and the stock currently sells for $76 per share. What is the projected dividend for the coming year? 19. Negative Growth (LO1) Foxtrap Inc. is a mature manufacturing firm. The company just paid a $9.40 dividend, but management expects to reduce the payout by 4% per year indefinitely. If you require a 10% return on this stock, what will you pay for a share today
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