Question
ABC, Inc. just paid dividend of $4.21. The dividends are expected to grow at 5.55% each year forever. The required rate of return on the
ABC, Inc. just paid dividend of $4.21. The dividends are expected to grow at 5.55% each year forever. The required rate of return on the stock is 14.08%. What is today's price of the stock?
Enter the answer rounded off to two decimal points.
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Financial Institutions Management A Risk Management Approach
Authors: Marcia Cornett, Patricia McGraw, Anthony Saunders
8th edition
978-0078034800, 78034809, 978-0071051590
