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
-
72.62
-
82.54
-
11.63
-
100
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Finance for Non Financial Managers
Authors: Pierre Bergeron
7th edition
176530835, 978-0176530839
