Compute what is the current stock price

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Question 1: The last dividend paid by Coppard Inc. was $1.25. The dividend growth rate is expected to be constant at 30% for 3 years, after which dividends are expected to grow at a rate of 6% forever. If the firm's required return (rs) is 11%, what is its current stock price?

Select the correct answer.

a. $57.31 b. $59.91 c. $57.96 d. $58.61 e. $59.26

 

Reference no: EM132483618

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