What should f-e stock sell for in the marketplace

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Question - The next dividend paid by Fred & Ethel's, Inc. is expected to be $2.75 per share. F&E plans to maintain a 2.5% growth for the foreseeable future. If investors require a return of 11% on investments of similar risk, what should F&E's stock sell for in the marketplace?

Reference no: EM133111547

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