Question
5. What would happen if you changed your work in question 2 by lowering the terminal value growth rate from 3.5% to 2%? Show all
5. What would happen if you changed your work in question 2 by lowering the terminal value growth rate from 3.5% to 2%? Show all of the steps in question 2 again but with the new change incorporated. By how much did the share price change? Why did the price go up or down? Discuss your analysis. (12 points)
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Fundamentals of Investments Valuation and Management
Authors: Bradford Jordan, Thomas Miller
7th edition
978-0078096785, 78096782, 978-0077861636, 77861639, 978-0078115660
