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What is the current value of the stock for jenny banks

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Jenny Banks is interested in buying the stock of Fervan, Inc., which is increasing its dividends at a constant rate of 6.5 percent. Last year the firm paid a dividend of $2.65. The required rate of return is 19.0 percent.

Problem 1: What is the current value of this stock? (Do not round intermediate calculations. Round answer to 2 decimal places, e.g. 15.25.)

Reference no: EM132859243

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