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Games R Us Inc. is expected to pay no dividends for the next six years. At the end of the sixth year it will pay
Games R Us Inc. is expected to pay no dividends for the next six years. At the end of the sixth year it will pay a dividend of $25 and cease operations. How much would you pay for the stock if you require a 10% rate of return?
A.$19.76
B.$25.40
C.$28.22
D.$22.58
E.$16.93
F.$14.11
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