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The Starr Co. just paid a dividend of $1.80 per share on its stock. The dividends are expected to grow at a constant rate of

The Starr Co. just paid a dividend of $1.80 per share on its stock. The dividends are expected to grow at a constant rate of 6 percent per year, indefinitely. Investors require a return of 11 percent on the stock. What's the stock's price?

36

$45.45

$40.22

$38.16

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