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(Common stock valuation) Gilliland Motor, Inc., paid a $4.19 dividend last year. If Gilliland's return on equity is 16 percent, and its retention rate is
(Common stock valuation) Gilliland Motor, Inc., paid a $4.19 dividend last year. If Gilliland's return on equity is 16 percent, and its retention rate is 34 percent, what is the value of the common stock if the investors require a rate of return of 17 percent? The value of the common stock is $ 41.84 (Round to the nearest cent.)
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