Market rate of return on stock

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Your father decided to invest in Liam Real Estate Holdings. The company expects to increase their annual dividend by 40 percent per year for the next two years and by 10 percent for the following year. After that, the company plans to pay $1.00 a share per year. The last dividend they paid was $.40 a share. What should your father expect to pay per share if the market rate of return on this stock is 11 percent?

Reference no: EM131713270

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