You would be willing to pay to purchase PRG Corporation

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PRG corporation recently paid a dividend of $2.00 per share. You expect the divident to grow at a rate of 10% per year for the next two years, and at a rate of 8% per year therafter. Due to the riskiness of PRG's industry, you require a rate of return of 16% on your investment. What is the most you would be willing to pay to purchase PRG Corporation?

Reference no: EM131535908

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