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Find What is estimate of the stock price one year from now

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Reference no: EM132995631

Problem 1: Kramerica Industries paid $2.05 per share in dividends yesterday. Its dividends are expected to grow steadily at 6% per year. If the required return is 6.9%, what is the estimate of the stock's price 1 year from now (P1)?

a) $255.93
b) $262.25
c) $258.56
d) $260.25

Reference no: EM132995631

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