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A Company's Dividend Last Year Was $3

Question 62

Multiple Choice

A company's dividend last year was $3.00.Dividends are expected to grow indefinitely at 7% and the required rate of return for the stock is 13%.What is the value of the stock today?


A) $2.83
B) $23.08
C) $24.69
D) $50.00
E) $53.50

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