KL Airlines Paid an Annual Dividend of $1

question 80

Multiple Choice

KL Airlines paid an annual dividend of $1.18 a share last month.The company is planning on paying $1.50,$1.75,and $1.80 a share over the next 3 years,respectively.After that,the dividend will be constant at $1.50 per share per year.What is the market price of this stock if the market rate of return is 10.5 percent?

• A)$13.98
• B)$14.07
• C)$14.71
• D)$17.16
• E)$18.10

---

Definitions:

Patients

Individuals receiving medical treatment, care, or evaluation from healthcare professionals or in a medical setting.

Available

Relating to something that is ready for use, accessible, or can be obtained.

Misinterpreted

Incorrectly understood or explained, leading to a misunderstanding of the original meaning.

Face-to-Face

Direct interaction between two or more people in the same physical space.