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Question content area top Part 1 Fey Fashions expects the following dividend pattern over the next seven years: The company will then have a constant

Question content area top

Part 1

Fey Fashions expects the following dividend pattern over the next seven years: The company will then have a constant dividend of $2.30

forever. What is the stock's price today if an investor wants to earn

16%?

22%?

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 1.10 1.22 1.35 1.50 1.67 1.85 2.05

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