Question
8. Company A paid $0.5 dividend per share last year. The dividend will be growing at 30% for three more years and will drop to
8. Company A paid $0.5 dividend per share last year. The dividend will be growing at 30% for three more years and will drop to 10% and remain indefinitely. Calculate the value of the share today if the required rate of return of the shares is 20%.
(could you explain the question in detail, Thanks)
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Financial Management And Policy
Authors: James C. Van Horne
11th Edition
0137512236, 9780137512232
