Question
The current price of a stock is $113.16. If dividends are expected to be $0.80 per share for the next five years, and the required
The current price of a stock is $113.16. If dividends are expected to be $0.80 per share for the next five years, and the required return is 5%, then what should the price of the stock be in 5 years when you plan to sell it?
The price 5 years from now will be
It is asking me for the price 5 years from now. I do not understand how to solve it.
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Economics
Authors: R. Glenn Hubbard
6th edition
978-0134797731, 134797736, 978-0134106243
