Question: Question 6 5 points Save Ans CHAPTER 5: COMMON STOCK CONSTANT GROWTH VALUATION: Bavarian Sausage, Inc. is expected to pay a $1.57 dividend next year,

Question 6 5 points Save Ans CHAPTER 5: COMMON STOCK CONSTANT

Question 6 5 points Save Ans CHAPTER 5: COMMON STOCK CONSTANT GROWTH VALUATION: Bavarian Sausage, Inc. is expected to pay a $1.57 dividend next year, and investors expect that dividend to grow by 5% each year forever. If the required return on the stock investment is 14%, what should be the price of the stock TODAY? O a. $25.37 b. $11.21 Oc. $17.94 O d. $18.32

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