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Integrated Potato Chips paid a $3.60 per share dividend yesterday. You expect the dividend to grow steadily at a rate of 6.50% per year forever.
Integrated Potato Chips paid a $3.60 per share dividend yesterday. You expect the dividend to grow steadily at a rate of 6.50% per year forever. a. What is the expected dividend in each of the next 3 years? (Do not round intermediate calculations. Round your answers to 2 decimal places.) b. If the discount rate for the stock is 10.00%, at what price will the stock sell? (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. What is the expected stock price 3 years from now? (Do not round intermediate calculations. Round your answer to 2 decimal places.) d. If you buy the stock and plan to hold it for 3 years, what payments will you receive? What is the present value of those payments? (Leave no cells blank - be certain to enter "O" wherever required. Do not round intermediate calculations. Round your answers to 2 decimal places.)
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