Question
Determine the value of a stock with the following variables using the constant growth model: Current annual dividend: $1.50 per share Required return rate: 6.5%
Determine the value of a stock with the following variables using the constant growth model:
- Current annual dividend: $1.50 per share
- Required return rate: 6.5%
- Constant growth rate: 4.5%
- a.)$79.88
- b.)$75
- c.)$78.38
- d.)$35.50
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Fundamental Accounting Principles Volume 1
Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann
15th Canadian Edition
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