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Based on the following information for a common stock: Dividend per share just paid (D0)...

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Finance

Based on the following information for a common stock:

Dividend per share just paid (D0) = $4

Required rate of return (Rs) = 10%

Expected constant growth rate (g) = 5%. What is the expected price of the stock?

Select one:

a. $93.75

b. $84

c. $77.84

d. $88.29

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