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Please answer 2and3 thank you very much!!! LO 1 1. Stock Values. Gilmore, Inc., just paid a dividend of $2.35 per share on its stock.
Please answer 2and3 thank you very much!!!
LO 1 1. Stock Values. Gilmore, Inc., just paid a dividend of $2.35 per share on its stock. The dividends are expected to grow at a constant rate of 4.1 percent per year, indefinitely. If investors require a return of 10.4 percent on this stock, what is the current price? What will the price be in three years? In 15 years? LO 1 2. Stock Values. The next dividend payment by Dizzle, Inc., will be $2.48 per share. The dividends are anticipated to maintain a growth rate of 4.5 percent forever. If the stock currently sells for $39.85 per share, what is the required return? 230 PART 4 Valuing Stocks and Bonds LO 1 3. Stock Values. For the company in the previous problem, what is the dividend yield? What is the expected capital gains yield? Talla T.IT 25Step by Step Solution
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