Question
MDC Company will pay a dividend as $2.4 in year 1, and announce that the firm will have a high growth rate as 15% in
MDC Company will pay a dividend as $2.4 in year 1, and announce that the firm will have a high growth rate as 15% in year 2 and year 3. After that, it will have a constant growth of 4%. What is the MDC current stock price if the required rate of return is 8%?
Multiple Choice
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11.63
-
100
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82.54
-
72.62
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Multinational financial management
Authors: Alan c. Shapiro
10th edition
9781118801161, 1118572386, 1118801164, 978-1118572382
