Question
1.Hideki Corporation has just paid a dividend of 587 per share. Annual dividends are expected to grow at the rate of 4 percent per year
1.Hideki Corporation has just paid a dividend of 587 per share. Annual dividends are expected to grow at the rate of 4 percent per year over the next four years. At the end of four years, shares of Hideki Corporation are expected to sell for 11,760. If the required rate of return is 12 percent, compute the intrinsic value of a share of Hideki (Enter your answer as a number, rounded to the nearest whole number, like this: 1234)
2.Compute the intrinsic value of a common share given the following information: The Beasley Corporation has just paid a dividend of $2.13 per share. The required rate of return is 12.7 percent per year and dividends are expected to grow indefinitely at a constant rate of 7.9 percent per year.
(Enter your answer as a number rounded to two decimal places, like this: 12.34)
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