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Microsoft Corp stock is now a constant growth stock. Microsoft just paid a dividend (Do) of $2.00 The company expects the dividends to grow (g)
Microsoft Corp stock is now a constant growth stock. Microsoft just paid a dividend (Do) of $2.00 The company expects the dividends to grow (g) at a constant rate of 15 percent per year. If investors require a 19 percent rate of return (Rs) what is the price (Po) of the stock?
100.00
$57.50
$115.00
$50.00
$62.25
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