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You are considering the purchase of a share of Blue Grass Inc. common stock. You expect to sale it at the end of one year
You are considering the purchase of a share of Blue Grass Inc. common stock. You expect to sale it at the end of one year for $87 per share. You will also receive a dividend $5.36 per share at the end of next year. If your required return on this stock is 7.39 percent, what is the most you would be willing to pay Blue Grass Inc. common stock now.
Round the answer to two decimal places. Show explanation
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