Question: Diettreich Electronics wants its shareholders to earn a 15 return

Diettreich Electronics wants its shareholders to earn a 15% return on their investment in the company. At what price would the stock need to be priced today if Diettreich Electronics had a
a. $0.25 constant annual dividend forever?
b. $1.00 constant annual dividend forever?
c. $1.75 constant annual dividend forever?
d. $2.50 constant annual dividend forever?


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  • CreatedMay 08, 2014
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