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Hana Corp estimated the following data: The dividend will grow as follows year growth rate 1 8% 2 8% 3 6% 4 to n 4%
Hana Corp estimated the following data: | |
The dividend will grow as follows | |
year | growth rate |
1 | 8% |
2 | 8% |
3 | 6% |
4 to n | 4% |
Rate of return | 6% |
Last dividend paid | $0.10 |
Find expected price for year two, E(P2) |
1. | Between $6.40 and $6.50 |
2. | Between $5.40 and $5.50 |
3. | Between $5.50 and $6.05 |
4. | Between $6.05 and $6.40 |
5. | Less than $4.00 |
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