The dividend payout ratio will be 40 and return on equity

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A stock will not pay dividends until three years from now. the dividend then will be $2.00 per share, the dividend payout ratio will be 40% and return on equity will be 15%. if the required rate of return is 12%, which on the following is closest to the value of the stock?

A. $27

B. 33

C. $53

D. $67

Reference no: EM13570198

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