Willing to pay for share of alpha corporation today

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Reference no: EM131942792

Alpha Corporation just paid a dividend of $2.50 per share on its common stock. Dividends are expected to grow at an annual rate of 8% for the next 3 years and then 3% thereafter. If you want to earn a minimum return of 9%, what is the most that you would be willing to pay for a share of Alpha Corporation today?

Reference no: EM131942792

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