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Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a ( $ 2 )

Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a \(\$ 2\) dividend in one year, and you believe that you will be able to sell the stock for \(\$ 14\) at that time. If you require an annual return of \(20\%\) on investments of this risk, what is the maximum you would be willing to pay?

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