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Suppose Microsoft Co. will pay a dividend of $0.8 per share one year from now (year 1), and $1.6 per share two years from
Suppose Microsoft Co. will pay a dividend of $0.8 per share one year from now (year 1), and $1.6 per share two years from now (year 2). After then (in other words, after the second year) dividends will grow at 10% per year forever. If the firm's equity cost of capital is 12%, what is their current price per share? O $64.63 O $1.99 O $72.14 O $88.00
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