Question
A common stock pays an annual dividend per share of $4.40. The risk-free rate is 8% and the risk premium for this stock is 3%.
A common stock pays an annual dividend per share of $4.40. The risk-free rate is 8% and the risk premium for this stock is 3%. If the annual dividend is expected to remain at $4.40, what is the value of the stock? Stock value
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Investment Science
Authors: David G. Luenberger
2nd Edition
0199740089, 978-0199740086
