What will price be immediately after next dividend payment

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The C. Alice Stone Company's common stock has paid a $3 dividend for so long that investors are now convinced that the stock will continue to pay that annual dividend forever.

If the next dividend is due in one year and investors require an 8 percent return on the stock, what is its current market price? What will the price be immediately after the next dividend payment?

Reference no: EM131329192

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