An investor estimates the following for a company's stock:
- Dividend per share in year 1: $2.00
- Dividend per share in year 2: $2.50
- Stock price at the end of year 2: $100.00
If the investor's required rate of return is 10%, the current per share value of the stock is closest to: | Chartered Financial Analyst Level 2 Quiz - LeetQuiz
Chartered Financial Analyst Level 2
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An investor estimates the following for a company's stock:
Dividend per share in year 1: $2.00
Dividend per share in year 2: $2.50
Stock price at the end of year 2: $100.00
If the investor's required rate of return is 10%, the current per share value of the stock is closest to: