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Teresa Company is expected to pay a $ 1 . 5 0 per share dividend at the end of the year ( D 1 )

Teresa Company is expected to pay a $1.50 per share dividend at the end of the year (D1). The dividend is expected to grow at a constant rate of 3% a year. The required rate of return on the stock, r, is 7.50%. What is the current stock price?

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