Suppose a share of stock is selling for $100. It plans to pay cash dividend...
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Finance
Suppose a share of stock is selling for $100. It plans to pay cash dividend of $1 per share at the end of this year. Its beta is 1. What price will investors expect the stock to sell for at the end of the year? (the risk-free rate is 4% and the expected rate of return on the market is 8%).
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