LOAN QUESTION

SoccerBoss
Category:
Marketing
Price: $5 USD

Question description

4. We would expect that, all else being equal, investors would pay less for a stock that they view as having become more risky. Assume a stock has just paid a $2.00-per-share dividend. Analysts believe that future dividends will grow at a 14% rate. The constant dividend growth rate is 4%. What would the stock price be? (Points : 1)

  $14.29
  $20.00
  $20.80
  $28.57

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