Smart consulting stock

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Reference no: EM131251426

An annual dividend of $6.00 was just paid by Smart Consulting. The required return on Smart Consulting's stock is 12.75%. If the dividends are expected to grow annually at 3.15% at what price should Smart Consulting's stock be selling according to the discounted dividend model?

a) $62.50

b) $47.06

c) $64.47

d) $48.54

Reference no: EM131251426

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