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    Financial Management Theory and Practice Study Set 4
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    Exam 7: Corporate Valuation and Stock Valuation
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    If D<sub>1</sub> = $1
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If D1 = $1

Question 58

Question 58

Multiple Choice

If D1 = $1.25, g (which is constant) = 5.5%, and P0 = $44, what is the stock's expected total return for the coming year?


A) 7.54%
B) 7.73%
C) 7.93%
D) 8.13%
E) 8.34%

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