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You are interested by the growth opportunities that offer a company listed in Casablanca stock market. You are expecting this company to pay a Dividend

You are interested by the growth opportunities that offer a company listed in Casablanca stock market.

You are expecting this company to pay a Dividend of 15 MAD next year and its price is expected to be 250 MAD.

  1. If the expected return is 10%, compute P0 (price of the bond today).
  2. If the current price is less than the price computed in part 1, what you will do as an investor?

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