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ABD Corp. announced that its next annual dividend will be $2.10 a share and all future dividends will increase by 2.5 percent annually. What is

ABD Corp. announced that its next annual dividend will be $2.10 a share and all future dividends will increase by 2.5 percent annually. What is the maximum amount you should pay to purchase a share of this stock if you require a rate of return of 12 percent?

A. $22.11

B. $22.66

C. $17.94

D. $17.50

E. $17.89

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