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For a particular share a dividend of 20p will be paid after 1 year, at which time the share is expected to be sold for

For a particular share a dividend of 20p will be paid after 1 year, at which time the share is expected to be sold for 250p. If the risk class justifies a rate of return of 20%, how much should an investor pay for the shares today?

275p

240p

250p

225p

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