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Dramatis Inc. declared today a quarterly dividend of $0.52. Investors expect a rate of return on the stock of 12.5% as long as it maintains

Dramatis Inc. declared today a quarterly dividend of $0.52. Investors expect a rate of return on the stock of 12.5% as long as it maintains its projected annual growth rate of 7.5%. What would an investor pay for the stock today?

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$42.38

$38.60

$36.00

$32.60

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