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Digital Systems, Inc. just paid a dividend of D0 = $3.25 per share on its stock. The dividends are expected to grow at a constant
Digital Systems, Inc. just paid a dividend of D0 = $3.25 per share on its stock. The dividends are expected to grow at a constant rate of g = 3 percent per year indefinitely. If investors require a return of KC/S = 13 percent on the companys stock, what is the current price, P0? a.$20.92 b.$32.50 c.$20.3125 d.$33.475
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