Question
BU340 You want to invest in a stock that pays $5 annual cash dividends for the next four years. At the end of the four
BU340
You want to invest in a stock that pays $5 annual cash dividends for the next four years. At the end of the four years, you will sell the stock for $20. If you want to earn 12% on this investment, what is a fair price for this stock if you buy it today?
40
43.9
27.9
25.42
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs
11th edition
134141083, 978-0134141084
