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Indah Berhad just paid RM0.30 of dividend last year. It is expected that the dividend will increase at 4% annually. The investor requires 10% rate

Indah Berhad just paid RM0.30 of dividend last year.  It is expected that the dividend will increase at 4% annually.  The investor requires 10% rate of return. Compute the value of the stock today. 


Zuhrah Manufacturer is planning to pay RM0.50 of dividend next year.  However, the dividend will decrease by 2% annually.  The required rate of return is 12%. 


Compute the value of the stock today.                      


Raihan's stock is currently selling for RM25 a share.  The firm is going to pay out dividend worth RM1.20 per share next year and plan to maintain the dividend growth rate at 5% annually. Compute the required rate of return. Sacha Bhd recently paid an annual dividend of RM1.50.  The company is practicing a policy of increasing the yearly dividend at a constant rate of 4%. Compute the dividend amount at year 4.  


Jamaica Corporation is one of the establish Telco company in Malaysia.  This company is planning to increase its annual dividend by 12% per year for the next three years.  After that reducing the growth to 8% per year forever.  The last year dividend paid worth RM0.80 per share and the required rate of return is 14%. 



Compute the value of the stock today.

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To compute the value of the stocks we can use the dividend discount model DDM which calculates the present value of expected future dividends 1 Indah Berhad The dividend last year was RM030 and it is ... blur-text-image

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