Question
Miltmar Corporation will pay a year-end dividend of $5, and dividends thereafter are expected to grow at the constant rate of 7% per year. The
| Miltmar Corporation will pay a year-end dividend of $5, and dividends thereafter are expected to grow at the constant rate of 7% per year. The risk-free rate is 4%, and the expected return on the market portfolio is 16%. The stock has a beta of 0.75. |
| Required: |
| What is the intrinsic value of the stock? (Round your answer to 2 decimal places.) |
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Military Finances Personal Money Management For Service Members Veterans And Their Families
Authors: Cheryl Lawhorne-Scott, Don Philpott
1st Edition
144222214X, 978-1442222144
