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You know the following concerning a common stock EPS $3.00 Payout ratio 25% P/E 10 Annual rate of growth of earnings and dividends 6% If

You know the following concerning a common stock

EPS $3.00
Payout ratio 25%
P/E 10
Annual rate of growth of earnings and dividends 6%

If you want to earn 10percent, should you buy this stock?What is the the maximum price you you should be willing to pay for the stock?

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