Suppose that a stock pays four annual dividends of ($50) per year and that the discount rate

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Suppose that a stock pays four annual dividends of \($50\) per year and that the discount rate (k) = 10%. Using the simple dividend discount model, what is the present value of the stock?

(A) \($125\)

(B) \($159\)

(C) \($85\)

(D) \($190\)

(E) \($65\)

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