Compute companys current stock price

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The Francis Company is expected to pay a dividend of D = $1.25 per share at the end of the year, and that dividend is expected to grow at a constant rate of 6.00% per year in the future. The company's beta is 1.45, the market risk premium is 5.50%, and the risk-free rate is 4.00%. What is the company's current stock price?
$20.92
$22.18
$19.87
$18.20
$21.34

Reference no: EM1352710

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