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Janet Ludlow's firm requires all its analysts to use a two-stage DDM and the CAPM to value stocks. Using these measures, Ludlow has valued QuickBrush

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Janet Ludlow's firm requires all its analysts to use a two-stage DDM and the CAPM to value stocks. Using these measures, Ludlow has valued QuickBrush Company at $63 per share. She now must value SmileWhite Corporation Ludlow estimates the following EPS and dividend growth rate for SmileWhite: First Three years: 15% per year Years thereafter: 12% per year Estimate the dividend value of SmileWhite in 2011 using the table above and the two-stage DDM. Dividends per share in 2010 were $1. Instruction: enter your answer as a decimal number rounded to 2 decimal places. Year 2010 2011 Dividends $1.00 ??? Question 14 3.43 pts Janet Ludlow's firm requires all its analysts to use a two-stage DDM and the CAPM to value stocks. Using these measures, Ludlow has valued QuickBrush Company at $63 per share. She now must value SmileWhite Corporation Ludlow estimates the following EPS and dividend growth rate for SmileWhite: First Three years: 15% per year Years thereafter: 12% per year Estimate the dividend value of SmileWhite in 2012 using the table above and the two-stage DDM. Dividends per share in 2010 were $1. Instruction: enter your answer as a decimal number rounded to 2 decimal places. You may use the results obtained in Question 8-13 Year Dividends 2010 $1.00 2011 From Question 8-13 ??? 2012

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