Multiple growth rates. A share of common stock paid a dividend exactly five years ago of $1.85
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Multiple growth rates. A share of common stock paid a dividend exactly five years ago of $1.85 and have increased this by $0.18 each year until now.
They are now planning on growth of 10% for the next three years before a constant growth rate of 5% is implemented for the rest of time. If the firm’s required rate of return is 6.31%, what should the current price of share of stock be?
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Related Book For 
Applied Corporate Finance Making Value Enhancing Decisions In The Real World
ISBN: 9783030816308
2nd Edition
Authors: Mark K. Pyles
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