Forecast of the stock price be two years from today


Question:

Cass inc. stock today for $75.00. You forecast no dividend payment this year but two years from today, you expect a $10 dividend. You plan to sell the stock immediately after receiving the dividend. If you want a return of 15% on the investment, how much must your forecast of the stock price be two years from today?

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Finance Basics: Forecast of the stock price be two years from today
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