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Q4 Midea has just shared that it will make the following dividend distributions: $2 in one year, $4 in two years and $1 in three
Q4 Midea has just shared that it will make the following dividend distributions: $2 in one year, $4 in two years and $1 in three years. Investors expect that the companys dividends will grow consistently after year three and the relevant growth rate is 2%. If the required rate of return is 11% for the company, how much should you pay for a Midea share today?
Select one:
a. 14.045
b. 19.091
c. 17.144
d. 16.688
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