Question
Carnes Cosmetics Co.'s stock price is $38, and it recently paid a $1.25 dividend. This dividend is expected to grow by 24% for the next
Carnes Cosmetics Co.'s stock price is $38, and it recently paid a $1.25 dividend. This dividend is expected to grow by 24% for the next 3 years, then grow forever at a constant rate, g; and rs = 16%. At what constant rate is the stock expected to grow after Year 3? Do not round intermediate calculations. Round your answer to two decimal places.
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Physics
Authors: James S. Walker
5th edition
978-0133498493, 9780321909107, 133498492, 0321909100, 978-0321976444
