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Diets For You announced today that it will begin paying annual dividends next year. The first annual dividend will be $.15 a share. The following
Diets For You announced today that it will begin paying annual dividends next year. The first annual dividend will be $.15 a share. The following dividends will be $.25, $.35, and $.60 a share annually for the following three years, respectively. After that, dividends are projected to increase by 4% per year. How much are you willing to pay to buy one share of the stock today if your desired rate of return is 10%?
8.73
8.67
8.41
8.12
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