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Per a financial analyst’s projection, DP’s stock will be worth $60 per share in three years. The company just paid a dividend of $1.50 per share and expects an annual increase of $0.50 in dividend per share during the next three years. If you require a return of 20% on investments of similar risk, what is the maximum amount that you would be willing to pay for DP’s stock?

Financial Management, Finance

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