Question
ABC Ltd shares are assumed to be trading at their fair value of $63.09. The dividend per share next year is $2.35 and grows
ABC Ltd shares are assumed to be trading at their fair value of $63.09. The dividend per share next year is $2.35 and grows at a constant rate each year. The appropriate discount rate is 12% p.a.. What is the expected price of ABC shares 3 year from now? (round to nearest cent)
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Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo
6th Global Edition
1292446315, 978-1292446318
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