Question
ABC stock is expected to pay a dividend of $4 next year (annual dividend). Dividends are expected to grow at a constant rate of 3%
ABC stock is expected to pay a dividend of $4 next year (annual dividend). Dividends are expected to grow at a constant rate of 3% every year. The required return is 5.5%. What is the intrinsic value of the stock?
Enter your answer to the nearest cent
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Investments An Introduction
Authors: Herbert B Mayo
11th Edition
1133936520, 9781133936527
