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Assume that Goliath Inc. plans to pay a set of dividends that will grow at 4 % per year forever. The dividend will be $
Assume that Goliath Inc. plans to pay a set of dividends that will grow at per year forever. The dividend will be $ next year. The required return of Goliaths stock is Note: this information is sufficient to solve # The next paragraph sets up the context for # Suppose Victor has $ today. He decides to buy shares of Goliaths stock today and save the rest of his $ into the Whales Cargo bank, which provides an annual interest rate of Victor will sell his shares of Goliaths stock in year and withdraw the money from the bank as well. Victor wants to know how much money he can have in year with such an investment plan. What is the stock price per share of Goliath Inc. when Victor sells it in year immediately after the third dividend is paid out
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