Multiple Choice
What would be the approximate expected price of a stock when dividends are expected to grow at a 25% rate in each of years 2 and 3,and then grow at a constant rate of 5% if the stock's required return is 13% and next year's dividend will be $4.00?
A) $67.60
B) $62.08
C) $68.64
D) $73.44
Correct Answer:
Verified
Correct Answer:
Verified
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