Evaluate what is the value of stock

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Reference no: EM132661990

The Common Stock of NCP paid $1.21 in dividends last year. Dividends are expected to grow at an annual rate of 8.20 percent for an indefinite number of years.

Problem a. If your required rate of return is 10.60 percent, what is the value of stock for you? (round to the nearest cent)

Problem b. Should you make the investment?

Reference no: EM132661990

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