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Please help me solve. I will leave a thumbs up! CX Enterprises has the following expected dividends: $1.14 in one year $1.24 in two years,
Please help me solve. I will leave a thumbs up!
CX Enterprises has the following expected dividends: $1.14 in one year $1.24 in two years, and $1.35 in three years. After that, its dividends are expected to grow at 4.2% per year forever so that year four's dividend will be 4.2% more than $1.35 and so on). If CX's equity cost of capital is 12.2%, what is the current price of its stock? The price of the stock will be $ (Round to the nearest cent.) Step by Step Solution
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