Pay for share of this stock today

Assignment Help Financial Management

Reference no: EM131346462

A stock is expected to pay the following dividends per share over the next four years, respectively: $0.00, $2.30, 2.60, and $2.90. If you expect to be able to sell the stock for $95.83 in four years and your required rate of return is 6%, what is the most that you should be willing to pay for a share of this stock today?

a) $103.63

b) $7.80

c) $82.43

d) $109.38

Reference no: EM131346462

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