A Corporation will a dividend of $8.00 per share, and that dividend is expected to grow at a constant rate of 5% per year in the future. The company’s beta is 1.50, the market return is 6.50%, and the riskfree rate is 3.50%. What is the company’s current stock price?
A.
$280.00 

B.
$96.97 

C.
$266.67 

D.
$101.82 
Answers D is incorrect. which one is correct and why?
Answer : Option C is Correct. The Explanation has been provided below:
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