MaxNet Communications is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 12 percent a year for the next 3 years and then decreasing the growth rate to 3.0 percent per year. The company just paid its annual dividend in the amount of $0.25 per share. What is the current value of one share of this stock if the required rate of return is 13.5 percent? A $2 13

Question text MaxNet Communications is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 12 percent a year for the next 3 years and then decreasing the growth rate to 3.0 percent per year. The company just paid its annual dividend in the amount of $0.25 per share. What is the current value of one share of this stock if the required rate of return is 13.5 percent