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A stock is expected to pay $0.80 per share every year indefinitely. If the current price of the stock is $16.40, and the equity cost

A stock is expected to pay $0.80 per share every year indefinitely. If the current price of the stock is $16.40, and the equity cost of capital for the company that released the shares is 6%, what price would an investor be expected to pay per share five years into thefuture?

A.

$13.33

B.

$22.66

C.

$21.33

D.

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