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QUESTION 21 The last dividend on Riverhawk Corporation's common stock was $4.50, and the expected constant growth rate is 10 percent. If you require a

QUESTION 21

The last dividend on Riverhawk Corporation's common stock was $4.50, and the expected constant growth rate is 10 percent. If you require a rate of return of 20 percent, what is the highest price you should be willing to pay for this stock?

A.
$ 33.00

B.
$ 60.50

C.
$ 55.00

D.
$ 44.00

E.
$ 38.50

F.
$ 49.50

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