How much should you be willing to pay for this investment

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Question: Homeowners Association Inc. has shares of common stock with a current price of $56.92 and is expected to grow at a constant of 3 percent. You require a 5 percent rate of return Calculate the stock's current dividend Do? #2 . You want to buy an investment that promises to generate $7,500 per year for Years 1-6 and $15,000 per year for Years 7-12. If you require an 9 percent rate of return, and the cash flows occur at the end of each year, then how much should you be willing to pay for this investment?

Reference no: EM133497024

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