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Makki is considering an investment in Cho's Korean Restaurant.Makki is planning to buy the stock today, hold it for 2 years, and then expects to
Makki is considering an investment in Cho's Korean Restaurant.Makki is planning to buy the stock today, hold it for 2 years, and then expects to sell the stock for $40 at the end of 2 years.Makki expects the first dividend to be $1.00, the second dividend to be $1.50.If Makki requires a 17% rate of return, what is the value of Cho's Korean Restaurant to Makki today?
A) $28.33
B) $26.93
C) $31.17
D) $24.70
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