Multiple Choice
A stock is expected to pay a $4.00 dividend per share. The growth rate is expected to be 5 percent. If investors demand 10 percent on this stock, what is the expected price of the stock 10 years from now?
A) $94.68
B) $92.17
C) $130.31
D) $126.93
Correct Answer:
Verified
Correct Answer:
Verified
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