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Can't Hold Me Back Is Preparing to Pay Its First

Question 104

Multiple Choice

Can't Hold Me Back is preparing to pay its first dividends.It is going to pay €1.00,€2.50,and €5.00 a share over the next three years,respectively.After that,the company has stated that the annual dividend will be €1.25 per share indefinitely.What is this equity worth to you per share if you demand a 7% rate of return?


A) €7.20
B) €14.48
C) €18.88
D) €21.78
E) €25.06

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