Problem:
A share of Lash Inc.'s common stock just paid a dividend of $2.00. If the expected long-run growth rate for this stock is 5%, and if investors' required rate of return is 12%,
Required:
Question: What is the stock price?
- $30.30
- $29.40
- $30.00
- $29.70
- $30.60
Note: Explain all calculation and formulas.