Question
Suppose the current dividend is RM2 and the expected dividend growth rate is 5% for 10-years with no further payment. Applying the constant growth model,
Suppose the current dividend is RM2 and the expected dividend growth rate is 5% for 10-years with no further payment. Applying the constant growth model, what is the value of the stock, if the discount rate is 10%.
Select one:
A. RM15.62
B. RM42.00
C. RM21.00
D. RM14.10
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Entrepreneurial Finance Finance For Small Business
Authors: Philip J. Adelman
1st Edition
0138129835, 9780138129835
