Question: Todd Mountain Development Corporation is expected to pay a dividend of $2 in the upcoming year. Dividends are expected to grow at the rate of

Todd Mountain Development Corporation is expected to pay a dividend of $2 in the upcoming year. Dividends are expected to grow at the rate of 9% per year. The risk-free rate of return is 6%, and the expected return on the market portfolio Is 17%. The stock of Todd Mountain Development Corporation has a beta of 100. Using the constant-growth DDM, the intrinsic value of the stock is Multiple Choice 5.40 22.22 769

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