Roberts Lumber of Perry, FL., paid an annual dividend of $1.47 per
share yesterday. Today, the company announced that future dividends
will be increasing by 3 percent annually. If you require a return of 14.6
percent, how much are you willing to pay to purchase one share of this
stock today?
$11.81
? $9.67
? $12.16
? $13.05
O $9.38