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Please include cell numbers/letters to show how you got your answer! thank you!!! Calculate the value of a stock given the following dividends for years
Please include cell numbers/letters to show how you got your answer!
thank you!!!
Calculate the value of a stock given the following dividends for years 1-5 and the growth rate and discount rate as stated using the DDM. Stocks Dividends Net Cash Flows \begin{tabular}{|c|c|c|c|c|c|c|} \hline 0 & 1 & 2 & 3 & 4 & 5 & Projected 6 \\ \hline$0 & $0.50 & $0.75 & $1.00 & $1.30 & $1.55 & \\ \hline \end{tabular} Growth rate 5.00% Cost of equity 10.00% Stock Price Calculate the value of a company given the following free cash flows for years 1-5 and the growth rate and discount rate as stated using the DCF. Company Free Cash Flows Net Cash Flows \begin{tabular}{|c|c|c|c|c|c|c|} \hline 0 & 1 & 2 & 3 & 4 & 5 & Projected 6 \\ \hline$0 & $10.00 & $12.00 & $14.00 & $17.50 & $20.20 & \\ \hline & & & & & & \\ \hline \end{tabular} Growth rate 3.50% Cost of equity Value of company millionStep by Step Solution
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