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Pronto Foods just paid its annual dividend of $ 1 . 4 5 a share. The firm recently announced that all future dividends will be

Pronto Foods just paid its annual dividend of $1.45 a share. The firm recently announced that all future dividends will be increased by 3.8 percent annually. (a) What is one share of this stock worth to you if you require a 15 percent rate of return? (b) What is the price inyear 5?(d) If the current price was $32, what is the required return?

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