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A stock is expected to pay its first $21 dividend in 7 years from now. The dividend is expected to be paid annually forever and
A stock is expected to pay its first $21 dividend in 7 years from now. The dividend is expected to be paid annually forever and grow by 2% pa. The discount rate is 5% pa. Estimate the current stock price. The current stock price should be: Question 1Select one: a. $700 b. $543.35 c. $522.35 d. $473.79 e. $284.27
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