You are running a motor company. Analysts predict that its dividends will grow at 1 0 percent

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You are running a motor company. Analysts predict that its dividends will grow at

10

percent per

year for the next five years. After that, as competition increases, dividend growth is expected to

slow to

7

percent per year and continue at that level forever. You company has just paid a

dividend of $

3

per share. What is the value of this company today if the interest rate is

5

percent?

Posted Date: May 18, 2024 07:04 AM

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You are running a motor company. Analysts predict that its dividends will grow at 1 0 percent

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