Question
KK Company is expected to pay a dividend in year 1 of $1.30, a dividend in year 2 of $1.50, and a dividend in year
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KK Company is expected to pay a dividend in year 1 of $1.30, a dividend in year 2 of $1.50, and a dividend in year 3 of $2.00. After year 3, dividends are expected to grow at the rate of 10% per year. An appropriate required return for the stock is 14%. The value of the KK stock today is closest to
A. $55.00
B. $33.00
C. $37.12
D. $40.76
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Restructuring And Innovation In Banking
Authors: Claudio Scardovi
1st Edition
331940203X, 978-3319402031
