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The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.44 per share on its stock. The dividends are expected to grow at a constant rate
The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.44 per share on its stock. The dividends are expected to grow at a constant rate of 4 percent per year indefinitely. |
a. If investors require a return of 11 percent on the company's stock, what is the current price? |
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b. What will the price be in 8 years? |
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