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A share of stock in the local fast food restaurant chain will pay a next dividend in the amount of $1.50. It is expected that

A share of stock in the local fast food restaurant chain will pay a next dividend in the amount of $1.50. It is expected that dividends paid for stocks from this restaurant will grow by 1% per year. The appropriate discount rate for stocks of this type is 6%.

What is the per share value of this stock?

a. $22.75

b. $37.50

c. $30.00

d. $45.25

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