Xander Inc. stock just paid an annual dividend of $0.80 a share. The dividend is expected to grow at 2 percent annually for the next 3 years. If the required return is 9 percent, what is the stock price?
A) $2.43
B) $2.89
C) $2.35
D) $2.10
E) $2.82
Correct Answer:
Verified
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