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Suppose that firm's recent earnings per share and dividend per share are $2.90 and $2.10, respectively. Both are expected to grow at 8 percent. However,
Suppose that firm's recent earnings per share and dividend per share are $2.90 and $2.10, respectively. Both are expected to grow at 8 percent. However, the firm's current P/E ratio of 22 seems high for this growth rate. the P/E ratio is expected to fall to 18 within five years.
Compute the dividends over the next five years. (Do not round intermediate calculations and round your final answers to 3 decimal places)
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