Question
You are considering a major investment in a large public corporation whose shares are trading at $125 today in a buoyant market. Using the following
You are considering a major investment in a large public corporation whose shares are trading at $125 today in a buoyant market. Using the following information determine what price (PO)the market should indicate the price to pay for the shares.
-Dividend paid this year $1.3500 per share
-growth rate of dividends 3.00% per annum
-Your required return on investment 6.00% per annum
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Introduction To Personal Finance Beginning Your Financial Journey
Authors: Lance Palmer, John E. Grable
2nd Edition
1119797063, 978-1119797067
