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Ping Plc plans to pay its first dividend of 20p in 3 years time with dividends growing thereafter at a rate of 4% per annum.

  1. Ping Plc plans to pay its first dividend of 20p in 3 years time with dividends growing thereafter at a rate of 4% per annum. If the cost of equity capital is 6%, what is the current market value of the share to the nearest penny?
    1. 1000p
    2. 890p
    3. 924p
    4. 840p

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