Question
Brushy Mountain Mining Companys coal reserves are being depleted, so its sales are falling. Also, environmental cost increases each year, so its cost are rising.
Brushy Mountain Mining Companys coal reserves are being depleted, so its sales are falling. Also, environmental cost increases each year, so its cost are rising. As a result, the companys earnings and dividends are declining at the constant rate of 4% per year. If D0= $6 and rs= 14%, what is the estimated value of Brushy Mountains stock?
The correct answer is $32, please show the process, i cant get this result. THANKS
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Dividend Stocks For Dummies
Authors: Lawrence Carrel
1st Edition
0470466014, 978-0470466018
