The Common Stock of Big Birds Unlimited Has a Required

question 13

Multiple Choice

The common stock of Big Birds Unlimited has a required return of 8 % and a growth rate of 4 %. The last annual dividend was $.60 a share. What is the current price of this stock?

• A) $7.50
• B) $7.80
• C) $10.00
• D) $15.00
• E) $15.60

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