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Problem 16-03 A stock costs $90 and pays a $4 annual dividend. If you expect to sell the stock after five years for $100, wha

use interest factor of the future value of a dollar (appendix A in the problem)

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Answer #1

rate positively ...

You have not provided the appendix but we can solve this using financial calculator as well
put in calculator -
FV 100
PV -90
PMT 4
N 5
Compute I 6%
Ans = 6%
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