Question
1. A company has just paid a dividend of 2.89$. Its discount rate is 10.4%, and the expected perpetual growth rate is 5.4%. What would
1. A company has just paid a dividend of 2.89$. Its discount rate is 10.4%, and the expected perpetual growth rate is 5.4%. What would you expect to be the stock's price IN ONE YEAR?
Round your answer to the nearest cent.
2.Copy ofA company has just paid a dividend of 2.49$. Its discount rate is 9.8%, and the expected perpetual growth rate is 4.6%. What would you expect to be the stock's price IN ONE YEAR?
Round your answer to the nearest cent.
3.A company has just paid a dividend of 4.19$. Its discount rate is 8.3%, and the expected perpetual growth rate is 3.8%. What is the stock's Capital Gain Yield?
Express your answer as a percentage but without the percentage sign. That is, if your answer is 0.035, which is 3.5%, then just type 3.5.
Please show the process by using financial calculation, thanks!
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