An investor is considering the purchase of a share of the Utah Mining Company. The stock...

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An investor is considering the purchase of a share of the Utah Mining Company. The stock will pay a $4.69 dividend per year,

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Answer 1

Answer #1

Current price=D1/(Required return-Growth rate)

=4.69/(0.15-0.1139)

which is equal to

=129.92(Approx).

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Answer 2

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