Question: 42. Chapter MC, Section .09, Problem 084.Algo Ackert Company's last dividend was $4.50. The dividend growth rate is expected to be constant at 1.5% for

42. Chapter MC, Section .09, Problem 084.Algo Ackert Company's last dividend

42. Chapter MC, Section .09, Problem 084.Algo Ackert Company's last dividend was $4.50. The dividend growth rate is expected to be constant at 1.5% for 2 years, after which dividends are expected to grow at a rate of 7.0% forever. The firm's required return (rs) is 10.0%. What is the best estimate of the current stock price? Do not round intermediate calculations. Oa. $158.69 Ob. $132.21 Oc. $144.64 Od. $148.36 Oe. $149.14

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