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Dds corporation stock pays a current dividend

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DDS corporation stock pays a current dividend of $1.00 per share.

Dividends are anticipated to increase at an annual rate of 10 percent for the foreseeable future. If the annual required rate of return is 15 percent, what is the current price of DDS stock? Given this information, what is the expected price of DDS stock in year 5?

Reference no: EM132524611

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