You own 200 shares of Loner, Inc stock The company has stated that it plans on issuing a dividend of $ 20 a share one year from today and then issuing a final liquidating dividend of $1 60 a share two years from today Your required rate of return is 11 Ignoring taxes, what is the value of one share...

You own 200 shares of Loner, Inc. stock. The company has stated that it plans on issuing

Question:

You own 200 shares of Loner, Inc. stock. The company has stated that it plans on issuing a of $.20 a share one year from today and then issuing a final liquidating of $1.60 a share two years from today. Your required rate of return is 11%. Ignoring taxes, what is the value of one share of this stock today?
$1.48
$1.60
$2.20
$2.52
$2.80
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...