Question
DTX paid $9m ordinary dividend for its 4m outstanding shares. The company decides to pay no dividend next year but 4 per cent more dividend
DTX paid $9m ordinary dividend for its 4m outstanding shares. The company decides to pay no dividend next year but 4 per cent more dividend in the second next year. The same growth in dividend is expected to continue forever. If the market expects 13 per cent return from this company, what would be the value for DTX share today?
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Get StartedRecommended Textbook for
Entrepreneurial Finance
Authors: Philip J. Adelman; Alan M. Marks
6th edition
9780133099096, 133140512, 133099091, 978-0133140514
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