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Management Studies

An investor holds the stock of First National Bank of Imoh and expects to receive a dividend of $12 per share at the end of the year. Stock analysts have recently predicted that the bank's dividends will grow at approximately 3 percent a year indefinitely into the future. If this is true, and if the appropriate risk-adjusted cost of capital (discount rate) for the bank is 15 percent, what should be the current stock price per share of Imoh's stock?

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Business Management, Management Studies

Category:- Business Management
Reference No.:- M9394892

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