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3) EZy Inc. preferred stock pays a $5 annual dividend. What is the value of the stock if your required rate of return is 10%?
3) EZy Inc. preferred stock pays a $5 annual dividend. What is the value of the stock if your required rate of return is 10%? 4) Peterson Dune Company paid $3 dividend per share last month. The cost of capital is 8 % and the company is expected to growth at 5% per year forever. How much should be the value of the stock? If the shares are selling for $55 in the market, is it over-valued or under-valued? Should you buy it
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