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15 January, 12:13

The western state company's common stock is expected to pay a $2.00 dividend in the coming year. if investors require a 17% return and the growth rate in dividends is expected to be 8%, what will the market price of the stock be?

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  1. 15 January, 12:25
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    It should be $2.16 which is the 8% since even though they require 17% what is projected to be available is only 8%
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