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please. I need help with these 3 problems. Thanks FinancelsFun just paid a dividend of $1.50 on each share of its stock. The company expects
please. I need help with these 3 problems. Thanks
FinancelsFun just paid a dividend of $1.50 on each share of its stock. The company expects that the dividends will increase at a constant rate of 5 percent per year in perpetuity. Investors require a 10 percent return on this company's stock. Calculate the current stock price. (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) Calculate the stock price in three years. (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.) Calculate the stock price in 10 years. (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g. 32.16.) The next dividend payment by Savitz, Inc., will be $2.08 per share. The dividends are anticipated to maintain a growth rate of 6 percent forever. If the stock currently sells for $42 per share, what is the required return? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Grateful Eight Co. is expected to maintain a constant 3.2 percent growth rate in its dividends indefinitely. If the company has a dividend yield of 5 percent, what is the required return on the company's stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Step by Step Solution
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