How much should you expect to pay per share

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Reference no: EM132035334

Problem

Upper crust bakers just paid on annual dividend of $3.10 a share and is expected to increase that amount by 4% per year.

If you are planning to buy 1,000 shares of stock 2 years from today, how much should you expect to pay per share if the market rate of return for this type of security is 12% at the time of your purchase?

Reference no: EM132035334

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