Question
For a company that has an Re = 10% and a forecasted growth rate of 4%, and an analyst forecasts dividends for the next two
For a company that has an Re = 10% and a forecasted growth rate of 4%, and an analyst forecasts dividends for the next two years as follows: 2021 = $140 and 2022 = $150. What is is the constant growth value using the dividend valuation method?
A. $278
B. $2,066
C. $2,149
D. $2,602
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk
11th Edition
0324422865, 978-0324422863
