ITU. TRT LAULIUHTY J VEHTI Jearning map for Unit 7 as appropriate. Students could also use excel formulas given as a Hint (Select Formulas - Financial tab in Excel for a listing of formulas) 01. Top Performance Company has a policy of paying a $9 per share divident every ye If this policy is to be continued indefinitely, what is the value of a share of stock if the 3. required return is 20 percent? 9 (Hint: Please use ordinary perpetuity formula) 70 11 12 Q2. The next dividend for the Dynamic Company will be $5 per share. Investors require a 13 14 percent return on companies such as Dynamic. Dynamic's divident increases by 6 perc 14 every year.Based on the dividend growth model, what is the value of Dynamic's stock too 15 Hint: Formula for dividend growth model is as follows: Po#D./(R-g) 17 18 Q3. How much are you willing to pay for one share of Red Snapper stock if the company 19 just paid a $0.60 annual dividend, the dividends increase by 2.4 percent annually, and you 20 require a 9 percent rate of return? Unit 7 Problems Ready Type here to search