Question
Nofal Corporation will pay a $4.60 per share dividend next year. The company pledges to increase its dividend by 6.75 percent per year, indefinitely. Required:
| Nofal Corporation will pay a $4.60 per share dividend next year. The company pledges to increase its dividend by 6.75 percent per year, indefinitely. |
| Required: |
| If you require a return of 11 percent on your investment, how much will you pay for the companys stock today? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) |
| Current stock price | $ |
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Fintech For Finance Professionals
Authors: David Kuo Chuen Lee, Joseph Lim, Kok Fai Phoon, Yu Wang
1st Edition
9811241864, 978-9811241864
