Question: Question 7 5 points Save Amwer CHAPTER 5: COMMON STOCK CONSTANT GROWTH VALUATION Bavarian Sausage, Inc. is expected to pay a $1.57 dividend next year,

Question 7 5 points Save Amwer CHAPTER 5: COMMON STOCK CONSTANT

Question 7 5 points Save Amwer 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 IN 5 YEARS? a. $21.22 O b. 522.33 OC 518.32 d. 517.44

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