Question
IBIS Corporation has had dividends grow from $2.50 per share to $6.50 per share over the last 10years (the $6.50 per share dividend was paid
IBIS Corporation has had dividends grow from $2.50 per share to $6.50 per share over the last 10years (the $6.50 per share dividend was paid yesterday; that is, D0= $6.50). This compounded annual growth rate in dividends is expected to continue into the future forever. If the current market price of IBISs stock is $45.00 per share, what rate of return do investors expect to receive from buying IBIS stock?
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Financial Reporting Financial Statement Analysis And Valuation
Authors: James M Wahlen, Stephen P Baginskl, Mark T Bradshaw
10th Edition
0357722094, 978-0357722091
