You own 200 shares of Loner stock. The firm announced that it will be issuing a dividend of $.20 a share one year from today followed by a final liquidating dividend of $1.60 a share two years from today. If you can earn 7 percent on your funds, what will be the value of your total investment income in two years if you do not want to receive any funds until then?
A) $362.80
B) $266.67
C) $302.30
D) $348.04
E) $247.78
A) $362.80
Business
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