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15. A stock is expected to pay a dividend of $1.25...

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Finance

15.
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A stock is expected to pay a dividend of $1.25 at the end of the year (i.e, D1=$1.25), and it should continue to grow at a constant rate of 3% a year. If its requlred return is 15%, what is the stock's expected price 2 years from today? Do not round intermediate caiculations. Round your answer to the nearest cent. 3

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