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(b) The Ohm Company paid a K2.50 dividend per share at the end of the year. The dividend is expected to grow by 10 percent
(b) The Ohm Company paid a K2.50 dividend per share at the end of the year. The dividend is expected to grow by 10 percent each year for the next 3 years, and the stock's market price per share is expected to be K50 at the end of the third year. Investors require a rate of return of 14 percent. At what price per share should the Ohm stock sell? (6 marks)
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