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What will be the price in three years

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Problem 1: Amco just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of 6 percent per year indefinitely. If investors require an 11% return on Amco stock, what is the current price? What will be the price in three years? In fifteen years?

Reference no: EM132964304

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