Allegheny publishings stock is expected to give a year end, Ask an Expert

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Allegheny Publishing's stock is expected to give a year end dividend, D1, of $4. The dividend is expected to increase at a constant rate of 8% per year, and the stock's required rate of return is 12%. Given this information, what is the expected price of the stock, eight years from now?

a. $200.00
b. $185.09
c. $171.38
d. $247.60
e. $136.86

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