Westonci.ca is the premier destination for reliable answers to your questions, brought to you by a community of experts. Our platform provides a seamless experience for finding precise answers from a network of experienced professionals. Discover in-depth answers to your questions from a wide network of professionals on our user-friendly Q&A platform.

Laurie, a CEO, wants to enact a dividend policy which combats inflation. Today, she just paid an annual dividend of $1. Her plan is to grow this dividend by 2.50% next year and each following year. Currently, the market expects an annual return of 4.75% for investments of similar risk. What is a fair price for Laurie’s stock?