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Intro Waimart has just paid an annual dividend of $3.97. Dividends are expected to grow by 6% for the next 4 years, and then grow
Intro Waimart has just paid an annual dividend of $3.97. Dividends are expected to grow by 6% for the next 4 years, and then grow by 3% thereafter. Walmart has a required return of 6%. Part 1 Attempt 2/3 for 8 pts. What is the expected dividend in four years? correct Dividends during non-constant growth phase: D1=D0(1+g1)=3.97+1.06$4.21D2D0(1+g1)2=3.9751.06224346D3D0(1+gi)3=3.9712.06343.73D4=D0(1+g1)4=3.971,063=5.01 What is the horizon value in four years (P^4)
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