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Question 3 (1 point) A company that interests you has just come up for sale. The company is projected to pay a dividend of $2.51
Question 3 (1 point) A company that interests you has just come up for sale. The company is projected to pay a dividend of $2.51 per share at the end of one year from now. The dividend is expected to grow by 2% by the end of year two and similarly every year thereafter. The appropriate risk adjusted discount rate is 10% per year. How much are you prepared to pay per share? O a) $21.97 Ob) $27.63 c) $38.03 d) $31.38
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