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Please show all work. Stocks are perpetuities which means there is no direct time frame. The normal equation would be d/(i/4) but I dont know
Please show all work. Stocks are perpetuities which means there is no direct time frame. The normal equation would be d/(i/4) but I dont know what to do with the $2 greater part of the question. d=dividend, i=interest rate
A common stock pays a dividend of $60 at the end of the first quarter, with each subsequent quarterly dividend being $2 greater than the preceding one. Find the price of this stock using a yield rate of 6% compounded quarterly. P =Step by Step Solution
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