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Business, 01.02.2021 22:40 gunnatvinson

Growing, Inc. is a firm that is experiencing rapid growth. The firm yesterday paid a dividend of $7.70. You believe that dividends will grow at a rate of 25.0% per year for two years, and then at a rate of 5.0% per year thereafter. You expect the stock will sell for $35.09 in two years. You expect an annual rate of return of 23.0% on this investment. If you plan to hold the stock indefinitely, what is the most you would pay for the stock now? a. $121.71.
b. $144.12.
c. $90.69.
d. $158.69.
e. $171.79.

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