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You expect a stock to pay dividends of $1.00, $1.25, and $1.50 in each of the next 3 years. You think the shares will sell

You expect a stock to pay dividends of $1.00, $1.25, and $1.50 in each of the next 3 years. You think the shares will sell for $20 at the end of the third year. to. 

a .What is the price of the stock if the discount rate on the stock is 10%? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

 b. What is the dividend yield for year 1? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places.) 

c. What will the dividend yield be at the beginning of year 2? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places.)

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a To calculate the price of the stock we need to find the present value of all future cash flows div... blur-text-image

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