Return on your investment in lion equity

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Lion Equity paid an annual dividend of $3.25 per share last month, and it is anticipated that future dividends will increase by 4% annually. As a shareholder, if you require a 11% return on your investment in Lion Equity, how much are you willing pay to purchase one share of stock in Lion Equity today?

Charming Shoppes will pay an annual dividend of $2.50 next year with future dividends increasing by 4% annually. If the market rate of return on this stock is 12%, what should the stock be currently selling for?

The Clark Group pays an annual dividend of $5.80 per share. The economy is tough but Clark promises to continue maintaining this level of dividend every year for the time being. How much are you willing to pay for one share of this stock is you want to earn a 14.5% annual return?

Reference no: EM131337922

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