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The GTE also issues its own stock in market, which is expected to pay a dividend of D1=$1.50 per share at the end of the
The GTE also issues its own stock in market, which is expected to pay a dividend of D1=$1.50 per share at the end of the first year, and that dividend is expected to grow at a constant rate of 5.00 per year in the future. The GTE's beta is 1.25, the market risk premium is 6.508, and the risk-free rate is 4.50 s. The CPA firm asks you to help estimate GTE's current stock price, and the company's value if GTE has 1 million shares outstanding
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