Question
Holt Enterprises recently paid a dividend, D 0 , of $4.00. It expects to have nonconstant growth of 13% for 2 years followed by a
Holt Enterprises recently paid a dividend, D0, of $4.00. It expects to have nonconstant growth of 13% for 2 years followed by a constant rate of 10% thereafter. The firm's required return is 19%.
What is the firm's horizon, or continuing, value?
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International Financial Management
Authors: Geert Bekaert, Robert Hodrick
3rd edition
1107111820, 110711182X, 978-1107111820
