What would be the maximum an investor should pay for the ordinary equity of a firm that has no growth opportunities but pays a dividend of €1.36 per year? The next dividend will be paid in exactly 1 year.The required rate of return is 12.5%.
A)€9.52
B)€10.88
C)€12.24
D)€17.00
E)None of the above.

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The Answer of What would be the maximum an investor should pay for the ordinary equity of a firm that has no growth opportunities but pays a dividend of €1.36 per year? The next dividend will be paid in exactly 1 year.The required rate of return is 12.5%.
A)€9.52
B)€10.88
C)€12.24
D)€17.00
E)None of the above.

What Would Be the Maximum an Investor Should Pay for the Ordinary