Question
ASAP please ******Here is a share of stock: The dividend that was just paid: $4 The constant growth rate of dividends (forever): 3% Dividends occur
ASAP please
******Here is a share of stock:
The dividend that was just paid: $4
The constant growth rate of dividends (forever): 3%
Dividends occur forever.
The required return for the first 2 years: 10%
The required return after the second year (until forever): 11%
What is the stock price today?
| A. | $48.97 | |
| B. | $65.15 | |
| C. | $46.54 | |
| D. | $52.41 |
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Forecasting Principles And Practice
Authors: Rob J Hyndman, George Athanasopoulos
3rd Edition
0987507133, 978-0987507136
