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2.0 Points You find a stock that just paid a dividend of $.50 that is expected to grow by 20% each year for the next
2.0 Points
- You find a stock that just paid a dividend of $.50 that is expected to grow by 20% each year for the next three years, then grow at a constant 7%. If the required return of the stock is 11%, what should be the price of the stock today?A.$18.66
- B.$20.76
- C.$19.16
- D.$23.11
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Public Finance and Public Policy
Authors: Jonathan Gruber
5th edition
1464143331, 978-1464143335
