Question
Hart Enterprises recently paid a dividend of $1.10. It expects to have nonconstant growth of 16% for 3 years followed by a constant rate of
Hart Enterprises recently paid a dividend of $1.10. It expects to have nonconstant growth of 16% for 3 years followed by a constant rate of 5.10% thereafter. The firm's required return is 10%.
a. What is the horizon, or continuing, value?
b. What is the intrinsic value today?
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Public Finance A Contemporary Application Of Theory To Policy
Authors: David N Hyman
8th Edition
0324259700, 978-0324259704
