Question
1.Weston Corporation just paid a dividend of $2.5 a share (i.e., D0 = $2.5). The dividend is expected to grow 8% a year for the
1.Weston Corporation just paid a dividend of $2.5 a share (i.e., D0 = $2.5). The dividend is expected to grow 8% a year for the next 3 years and then at 5% a year thereafter. What is the expected dividend per share for each of the next 5 years? Round your answers to two decimal places.
D1 = $ D2 = $ D3 = $ D4 = $ D5 = $
2.Tresnan Brothers is expected to pay a $1.1 per share dividend at the end of the year (i.e., D1 = $1.1). The dividend is expected to grow at a constant rate of 8% a year. The required rate of return on the stock, rs, is 15%. What is the stock's current value per share? Round your answer to two decimal places.
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