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Return on stocks of similar risk

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Reference no: EM133060126

The stock of Sedly Inc. is expected to pay the following dividends.

Year

1

2

3

4

Dividend

$2.30

$3.50

$1.75

$2.20

At the end of the fourth year its value is expected to be $37.70. What should Sedly sell for today if the return on stocks of similar risk is 13.387%? Round PVF values in intermediate calcualtions to four decimal places. Round the answer to two decimal places.

Reference no: EM133060126

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