Question: You have taken a job as an entry-level analyst, and your boss has asked you to find the expected value of Dual Purposes Products Co.'s

You have taken a job as an entry-level analyst, and your boss has asked you to find the expected value of Dual Purposes Products Co.'s stock. As you were doing your research, you found out that Dual Purposes Products Co. just paid a dividend (D_0) of $3.75. The firm has experienced consistent growth of 3% for the last couple of years, and you believe that the firm will continue to grow at the same rate in the future. If investors require a return of 10% on Dual Purposes Products Co.'s stock, what is the expected value of the company's stock? $49.66 $60.70 $55.18 $44.14 What would be the change in the expected value of Dual Purposes Products Co.'s stock if investors required a return of 12% on the company's stock
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