Business, 10.03.2020 09:02, jermainedwards

You want to purchase some shares of JJ Farms stock but need a 14.5 percent rate of return to compensate for the perceived risk. What is the maximum you are willing to spend per share to buy this stock if the company pays a constant $1.25 annual dividend per share?

(A) 9.38
(B) $9.11
(C) $8.62
(D) $9.26
(E) $8.47

Answers: 3

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You want to purchase some shares of JJ Farms stock but need a 14.5 percent rate of return to compens...