Question
Fresno Corp. is a fast-growing company that expects to grow at a rate of 23 percent over the next two years and then to slow
Fresno Corp. is a fast-growing company that expects to grow at a rate of 23 percent over the next two years and then to slow to a growth rate of 14 percent for the following three years. If the last dividend paid by the company was $2.15.
What is the dividend for 1st year? (Round answer to 3 decimal places, e.g. 15.250.)
What is the dividend for 2nd year?Round answer to 3 decimal places, e.g. 15.250.)
What is the dividend for 3rd year?Round answer to 3 decimal places, e.g. 15.250.)
What is the dividend for 4th year?Round answer to 3 decimal places, e.g. 15.250.)
What is the dividend for 5th year?Round answer to 3 decimal places, e.g. 15.250.)
Compute the present value of these dividends if the required rate of return is 14 percent. (Round intermediate calculations and final answer to 2 decimal places, e.g. 15.25.)
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