At which time you expect that the stock will be selling

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Suppose that the price of Goldman Sachs stock is currently $142 per share. You expect that the firm will pay a dividend of $1.40 per share at the end of the year, at which time you expect that the stock will be selling for $160 per share.

If you require a return of 8% to invest in this stock, should you buy it? Briefly explain.

Reference no: EM131305343

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