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A firm's most recent dividend on common stock was $5.00, and the expected growth rate is 10.00%. If you require a rate of return of

A firm's most recent dividend on common stock was $5.00, and the expected growth rate is 10.00%. If you require a rate of return of 18.00%, what is the highest price you should be willing to pay for this stock?

Select one:

a.

$68.75

b.

$50.00

c.

$55.00

d.

$62.50

e.

$30.56

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