The next year the common stock of Gold Corp. will pay a dividend of $2.83 per share. If the company is growing at a rate of 2.86% per year, and your required rate of return is 13.84%, what is Gold's company stock worth to you?
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assume the price is p, then we have
(1.0286P+2.83)/(1.1384) = p
p=2.83*1.1384(1.1384-1.0286) = 29.34
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