What is the value of one share of this stock today

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Reference no: EM13927890

You own 200 shares of Loner, Inc. stock. The company has stated that it plans on issuing a dividend of $.20 a share one year from today and then issuing a final liquidating dividend of $1.60 a share two years from today. Your required rate of return is 11%. Ignoring taxes, what is the value of one share of this stock today?

$1.48

$1.60

$2.20

$2.52

$2.80

Reference no: EM13927890

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