Question
The Herjavec Co. just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of
The Herjavec Co. just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of 3 per year indefinitely. Investors require a return of 11 percent on the companys stock. What is the current price of the stock? What will the price be in three years? What will the price be in 6 years?
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk
11th Edition
0324422865, 978-0324422863
