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A stock just paid a dividend of $5.00. The dividend is expected to grow at a rate of 20% for a period of three years

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A stock just paid a dividend of $5.00. The dividend is expected to grow at a rate of 20% for a period of three years and then settle down to a long run stable growth rate of 5%. If the market requires a rate of return of 15% to hold assets of this risk, what price should the stock trade at? Select one a $59.54 e b. $66.24 @ 569.81 d. 875.98 e. None of the above are correct solutions

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