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A company just paid out an annual dividend of $5. If the company will pay the same amount of dividend for each of the next
A company just paid out an annual dividend of $5. If the company will pay the same amount of dividend for each of the next 2 years, and grows the dividend amount by 7% annually thereafter, what should be the price of a share today? Assume that the required rate of return for the stock is 15%.
Group of answer choices
$67.50
$58.70
$62.48
$66.88
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