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You expect a share of stock to pay dividends of $1.40, $1.75, and $2.00 in each of the next 3 years. You believe the stock
You expect a share of stock to pay dividends of $1.40, $1.75, and $2.00 in each of the next 3 years. You believe the stock will sell for $27 at the end of the third year. a. What is the stock price if the discount rate for the stock is 10%? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Stock price $ b. What is the dividend yield? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Dividend yield %
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