A stock just paid an annual dividend of €5 per share. The dividend is expected to grow at 3% indefinitely, and the requi

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answerhappygod
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A stock just paid an annual dividend of €5 per share. The dividend is expected to grow at 3% indefinitely, and the requi

Post by answerhappygod »

A stock just paid an
annual dividend of €5 per share. The dividend is expected to grow
at 3% indefinitely, and the required rate of return is 7%. Based on
this, what is an estimate of the value of the stock?
€82.50
€128.75
€174.50
€205.25
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