Multiple Choice
A stock currently sells for $30 per share and pays $1.00 per year in dividends.What is an investor's valuation of this stock if he expects it to be selling for $37 in one year and requires a 12 percent return on equity investments?
A) $38
B) $33.50
C) $34.50
D) $33.93
Correct Answer:
Verified
Correct Answer:
Verified
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