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The Jolly Scholar Brewing Company will pay a dividend of $2.50 next year. Equity research analysts that follow the Company have an average forecasted price

The Jolly Scholar Brewing Company will pay a dividend of $2.50 next year.  Equity research analysts that follow the Company have an average forecasted price of $40.00 one (1) year from today.  You desire to earn a rate of return of 12.0% on an investment in this Company.

Use the One-Period Valuation Model to estimate the Inherent Value of this stock.

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