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You own the stock o f Rorison and its current price i s $ 3 6 . 0 0 s hare. I t pays n
You own the stock Rorison and its current price $hare. pays dividend today. Rorison has just announced that intends initiate a dividend $hare the end Years and and months from now But improving future profit outlook leads you believe that Rorison Board will increase the Year dividend $; and then increase further annually for the next years years and ; after which will grow annually forever. You are seeking annual return.
light this, should you buy more Rorison stock the current $ price; should you sell all your current Rorison holdings for $ per share and reinvest the proceeds elsewhere?
Group answer choices
Sell for $ because the intrinsic value $
Buy for $ because the intrinsic value $
Buy for $ because the intrinsic value $
Buy for $ because the intrinsic value $
Sell for $ because the intrinsic value $
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