What should be the current price of a stock if the expected dividend is $5.60, the stock has a required return of 20%, and a constant dividend growth rate of 6%?
a. $40.00
b. $28.00
c. $41.48
d. $38.62
Ans: a. $40.00
Business
a. $40.00
b. $28.00
c. $41.48
d. $38.62
Ans: a. $40.00