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A new Fintech company plans to make its first dividend payment one year from now. The dividend is expected to be $4 and will grow
A new Fintech company plans to make its first dividend payment one year from now. The dividend is expected to be $4 and will grow at a rate of 8% per year forever. Since the company is new, you think a 18% rate of return would be appropriate. How much would you be willing to pay for one share of this company?
Select one:
a. $40.00
b. $15.00
c. $20.00
d. $35.00
e. $4.00
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