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A stock is expected to pay its first $81 dividend in 9 years from now....

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Finance

A stock is expected to pay its first $81 dividend in 9 years from now. The dividend is expected to be paid annually forever and grow by 1% pa. The discount rate is 7% pa. Estimate the current stock price. The current stock price should be: Question 6Select one: a. $1,350 b. $866.71 c. $785.71 d. $734.31 e. $588.23

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