Multiple Choice
A stock currently sells for $25 per share and pays $0.24 per year in dividends.What is an investor's valuation of this stock if she expects it to be selling for $30 in one year and requires a 15 percent return on equity investments?
A) $30.24
B) $26.30
C) $26.09
D) $27.74
Correct Answer:
Verified
Correct Answer:
Verified
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