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How many shares can she purchase as a result of the dividend

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Question - Assume that Sally owns 3000 shares of Charlie Brown Corp. She purchased them for $75 per share and they remain at that price. Charlie Brown Corp recently paid a dividend of $5 per share. Charlie Brown Corp allows investor's who take part in their dividend reinvestment plan (DRIP) to reinvest the dividends with a 4% discount. If Sally elected to take part in the DRIP program, how many shares can she purchase as a result of the dividend?

Reference no: EM133176617

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