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6 A company's stock has a beta of 1.15. The risk free rate is 4.72%, and the expected rate on stocks is 10%. If a
6 A company's stock has a beta of 1.15. The risk free rate is 4.72%, and the expected rate on stocks is 10%. If a share of this common stock has just paid a quarterly dividend of $.35, and the long-run growth rate is 5 percent, value this stock.
a. 6.34
b. 25.37
c. 36.25
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