What should the price of m-h be

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Question - M&H just paid a £0.70 annual dividend. The company just announced that its dividends will increase by 1.6 percent annually for ever. What should the price of M&H be if you require a 10 percent rate of return?

a. £8.53

b. £8.29

c. £8.59

d. £8.47

e. £8.33

Reference no: EM133151266

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