Investors require a rate of return of 14 at what price per


The Ortega Company paid a $2.50 dividend per share at the end of the year. The dividend is expected to grow by 10% each year for the next 3 years, and the stock market price per share is expected to be $50 at the end of the third year. Investors require a rate of return of 14%. At what price per share should the Ortega stock sell?

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