Question
A.) The market price of a stock is $24.97 and it just paid a dividend of $1.25. The required rate of return is 11.30%. What
A.)
The market price of a stock is $24.97 and it just paid a dividend of $1.25. The required rate of return is 11.30%. What is the expected growth rate of the dividend?
B.)
The market price of a stock is $22.98 and it is expected to pay a dividend of $1.24 next year. The required rate of return is 11.08%. What is the expected growth rate of the dividend?
C.)
A stock just paid a dividend of $2.11. The dividend is expected to grow at 20.36% for three years and then grow at 4.29% thereafter. The required return on the stock is 11.06%. What is the value of the stock?
D.)
A stock just paid a dividend of $1.39. The dividend is expected to grow at 22.74% for five years and then grow at 3.91% thereafter. The required return on the stock is 12.63%. What is the value of the stock?
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