Question
A companys dividend grows at a constant rate of 2 percent p.a.. Last week it paid a dividend of $3.37. If the required rate of
A companys dividend grows at a constant rate of 2 percent p.a.. Last week it paid a dividend of $3.37. If the required rate of return is 16 percent p.a., what is the price of the share 3 years from now? (round to nearest cent)
Select one:
a. $26.06
b. $25.54
c. $16.69
d. $38.32
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Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365
