Carnes Cosmetics Co.'s stock price is $45, and it recently paid a $1.25 dividend. This dividend is expected to grow by 23% for the next
Carnes Cosmetics Co.'s stock price is $45, and it recently paid a $1.25 dividend. This dividend is expected to grow by 23% 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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Authors: Paula H. Song, Kristin L. Reiter
4th Edition
1640553223, 978-1640553224
