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You own 75 shares of stock in McGraw Plumbing Co. You expect to receive a $3.25 per share dividend in one year. In two years,

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You own 75 shares of stock in McGraw Plumbing Co. You expect to receive a $3.25 per share dividend in one year. In two years, McGraw will pay a liquidating dividend of $63 per share. The required return on McGraw stock is 15 percent. What is the value of McGraw stock today? Hint: Recall that the "value" of any financial investment (stock, bond, firm, project, etc.) is the PV of all future cash flows, discounted at the required rate of return. Select one: a. $55.51 b. $50.46 c. $51.98 d. $48.95 e. $54.00

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