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Homeboy Corp. is expected to pay a dividend of $2.80 per year indefinitely.The appropriate rate of return on this stock is 10 percent per year,
Homeboy Corp. is expected to pay a dividend of $2.80 per year indefinitely.The appropriate rate of return on this stock is 10 percent per year, and the stock consistently goes ex-dividend 30 days before dividend payment date.
What will be the expected minimum price in light of the dividend payment logistics?
Minimum stock price
What will be the expected maximum price in light of the dividend payment logistics?
Maximum stock price
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