Question
A prestigious investment bank has designed a new security that pays a quarterly dividend of $1.02 in perpetuity. The first dividend occurs one quarter from
A prestigious investment bank has designed a new security that pays a quarterly dividend of $1.02 in perpetuity. The first dividend occurs one quarter from today. What is the price of the security if the stated annual interest rate is 7.1 %, compounded quarterly?(Round answer to 2 decimal places, round intermediate calculations to 5 decimal places)
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Introduction To Finance Markets, Investments, And Financial Management
Authors: Ronald W. Melicher, Edgar A. Norton
17th Edition
1119561175, 978-1119561170
