Question
You buy 100 shares of ABC stock at $25/share; stock currently pays $1/share in annual dividends. Price of the stock increases at 8%/year and dividends
You buy 100 shares of ABC stock at $25/share; stock currently pays $1/share in annual dividends. Price of the stock increases at 8%/year and dividends grow at 5%/year. Assuming a five years holding period. If you participate in a DRIP, How many of ABC stock will you have at the end of year 2?
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Multinational financial management
Authors: Alan c. Shapiro
10th edition
9781118801161, 1118572386, 1118801164, 978-1118572382
