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Using the One-Period Valuation Model,assuming a Year-End Dividend of $0

Question 36

Multiple Choice

Using the one-period valuation model,assuming a year-end dividend of $0.11,an expected sales price of $110,and a required rate of return of 10%,the current price of the stock would be


A) $110.11.
B) $121.12.
C) $100.10.
D) $100.11

Correct Answer:

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