A company is expecting its sales to decline and has announced that it will be reducing its annual dividend by 6.75% a year for the next two years. After that, it will maintain a constant dividend of $1.00 a share. Just recently, the company paid a dividend of $2.90 per share. What is this stock worth if you require a 10.75% rate of return?

Question 23 options:

	$11.48
	$11.78
	$12.08
	$12.38
	$12.69