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1. What is the future value of $1,720 in 14 years assuming an interest rate of 7.25 percent compounded annually?

2. Pharsalus Inc. just paid a dividend (i.e., D0) of $ 1.23 per share. This dividend is expected to grow at a rate of 3.1 percent per year forever. The appropriate discount rate for Pharsalus's stock is 9.3 percent. What is the price of the stock? (Round your answer to 2 decimal places and record your answer without dollar sign or commas).

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92746015

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