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Rate of return on investments

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Dolce, Deluca, and Benz Inc. will pay a dividend of $6 for each of the next 3 years, $7 for each of the years 4-7, and $9 for the years 8-10. Thereafter, the company will pay no dividends. If you require 16 percent rate of return on investments in this risk class, how much is this stock worth to you?

Reference no: EM131696492

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