Question
The Fleming Corporation paid a dividend of $1.20 last year. Over the next 12 months, the dividend is expected to grow at 9 percent, which
The Fleming Corporation paid a dividend of $1.20 last year. Over the next 12 months, the dividend is expected to grow at 9 percent, which is the constant growth rate for the firm. The new dividend after 12 months will represent D1. The required rate of return is 14 percent.
Compute the price of a common share. (Round the final answer to 2 decimal places.)
Common share price $
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A Textbook Of Accounting For Management
Authors: S.N. Maheshwari
3rd Edition
9325956195, 978-9325956193
