Good Point. How much is there stock worth if they were to stop growing their dividend at 2.4% after 4 years and instead grow at 1.3% after that, indefinitely? (Answer This Question Only)

po.lu allu vve expelt llad to yiuvv at a constant rate of 2.4%. Assuming the market requires a(n) 8.3\% return from Kraft Heinz, what is their stock worth? (Answer with 2 decimals.) Manny Reyna Hint - Use the constant growth model Darnell What about Kraft Heinz. They currently pay an annual dividend of $3.76 and we expect that to grow at a constant rate of 2.4%. Assuming the market requires a(n) 8.3\% return from Kraft Heinz, what is their stock worth? (Answer with 2 decimals.) 8.3%2.4%$3.76=$63.73 Correct Answer: $63.73 Manny Reyna It seems risky to assume they will always increase their dividend in the future. Darnell Good point. How much is their stock worth if they were to stop growing their dividend at 2.4% after 4 years and instead grow at 1.3% after that, indefinitely? (Answer with 2 decimals)