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QUESTION 2 The Sorg Co. has just paid a dividend of $4 per share. Investors require a 15% return on its stock. The dividends are

QUESTION 2

  1. The Sorg Co. has just paid a dividend of $4 per share. Investors require a 15% return on its stock. The dividends are expected to grow at a rate of 5% per year? What is the expected value of the stock in 10 years?

    Round to 2 decimal places.

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