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A stock just paid a dividend of D 0 = $1.50. The required rate of return is r s = 7.0%, and the constant growth

A stock just paid a dividend of D₀ = $1.50. The required rate of return is r_s = 7.0%, and the constant growth rate is g = 4.0%. What is the current stock price?

Select the correct answer.

a. $52.00

b. $47.74

c. $53.42

d. $49.16

e. $50.58

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