Question
28. The Francis Company is expected to pay a dividend of D = $1.25 per share at the end of the year, and that dividend
28. The Francis Company is expected to pay a dividend of D = $1.25 per share at the end of the year, and that dividend is expected to grow at a constant rate of 6.00% per year in the future. The company's beta is 1.95, the market risk premium is 5.50%, and the risk-free rate is 4.00%. What is the company's current stock price? A. $16.62 B. $14.33 C. $15.47 D. $16.05 E. $14.18
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Investment Analysis And Portfolio Management
Authors: Frank K. Reilly, Peggy L. Hedges, Philip Chang, Keith C. Brown, Hedges Reilly Brown
1st Canadian Edition
0176500693, 978-0176500696
