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You have been asked to calculate the dividend discount model-based price per share for the three airlines shown above. You know the following for 2019:

You have been asked to calculate the dividend discount model-based price per

share for the three airlines shown above. You know the following for 2019:

Firms Dividend Growth/Year WACC

Eastern

 1.85 2.6% 6.28%

Western

 3.25 2.25% 5.40%

Northern

 2.22 1.9% 6.41%

image text in transcribed

D B 2019 Dividends Dividends Growth/yr. A 1 2 3 Eastern 4 Western 5 Northern 6 7 Dividend Stream 2020 8 2021 TV 9 Eastern 10 Western 11 Northern 12 13 DDM Value of each Firm $/share 14 15 Eastern 16 Western 17 Northern

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