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Question: Emily's Boutique of Ottawa recently paid $1.65 as an annual dividend. Future dividends are projected at $1.72, $1.82, $1.86, and $1.90 over the next four years, respectively. Immediately after the dividend in year 4, the dividend is expected to increase by 2 percent annually. What is one share of this stock worth to you if you require a 10 percent rate of return on similar investments?

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