12 Jan

Acquiring shares of stock that you would like to hold for one year

by jagguarpaw On: Finance - 0 Comment

Question: You are considering acquiring shares of stock that…

You are considering acquiring shares of stock that you would like to hold for one year. On a per-share basis, you expect to receive $1.95 in dividends and $25.3 from the sale of the share at the end of the year. If you want to earn an 11% rate of return, what is the maximum price you would pay for a share today?

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