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Your company is estimated to make dividends payments of $2.8 next year, $3.9 the year after, and $4.8 in the year after that. The dividends
Your company is estimated to make dividends payments of $2.8 next year, $3.9 the year after, and $4.8 in the year after that. The dividends will then grow at a constant rate of 6% per year. If the discount rate is 10% then what is the current stock price? (Enter the answer in dollar format without \$ sign or thousands comma -> 3519.23 and not $3,519.23 or 3,519.23) Question 2 1pts A stock will pay no dividends for the next 6 years. Then it will pay a dividend of $4 growing at 3%. The discount rate is 8%. What should be the current stock price? (Enter the answer in dollar format without $ sign or thousands comma -> 3519.23 and not $3,519.23 or 3,519.23)
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