The cart wheel plans to pay an annual dividend

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Reference no: EM131057936

The Cart Wheel plans to pay an annual dividend of $1.20 per share next year, $1.00 per share a year for the following two years, and then cease paying dividends altogether. How much is one share of this stock worth to you today if you require a 17 percent rate of return?

A.$2.83, B. $2.43, C. $2.56, D. $2.60, AND E. $2.60

Reference no: EM131057936

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