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You are considering the purchase of a stock that will make annual payments of $2.60 per year for the next three years. At the end

You are considering the purchase of a stock that will make annual payments of $2.60 per year for the next three years. At the end of the fourth year, you believe that you will be able to sell your stock for $33.00, just before the year-end dividend payment is made. How much would you be willing to pay for the stock now if the fair rate of return is 13 percent?

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