Non-Constant Dividends Far Side SpA is expected to pay the following dividends over the next four years:

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Non-Constant Dividends Far Side SpA is expected to pay the following dividends over the next four years: €12, €10, €6 and €3. Subsequently, the company pledges to maintain a constant 5 per cent growth rate in dividends for ever. If the required return on the equity is 12 per cent, what is the current share price?

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Fundamentals Of Corporate Finance

ISBN: 9780077178239

3rd Edition

Authors: David Hillier, Iain Clacher, Stephen A. Ross

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