Question
AT&T plans to pay a dividend of $4.00 per share in dividends in the coming year. Its equity cost of capital is 15%. Dividends are
AT&T plans to pay a dividend of $4.00 per share in dividends in the coming year. Its equity cost of capital is 15%. Dividends are expected to grow by 10% per year in the future. You plan on selling this stock in 3 years from now. What price would AT&T be trading at in 3 years?
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Options Futures And Other Derivatives
Authors: John C. Hull
7th Edition
0136015867, 9780136015864
