Using the Gordon Growth Formula,if D₁ Is $1

question 7

Multiple Choice

Using the Gordon growth formula,if D₁ is $1.00,kₑ is 10% or 0.10,and g is 5% or 0.05,then the current stock price is

• A)$10.
• B)$20.
• C)$30.
• D)$40.

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