Question
A company will pay a $2 per share dividend in 1 year.The dividend in 2 years will be $3 per share, and it is expected
A company will pay a $2 per share dividend in 1 year.The dividend in 2 years will be $3 per share, and it is expected that dividends will grow at 5% per year thereafter.The expected rate of return on the stock is 12%.What is the current price of the stock?
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Foundations Of Finance
Authors: Arthur J. Keown, John H. Martin, J. William Petty
10th Edition
0135160618, 978-0135160619
