Question
Yuyen Corporation just paid a $5 dividend per share, you expect the dividend to grow at 10%for the next 2 years and expect to sell
Yuyen Corporation just paid a $5 dividend per share, you expect the dividend to grow at 10%for the next 2 years and expect to sell the stock at $65 at the end of year 2. What is themaximum price you would pay to buy the stock? The required rate of return is 12%.
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Public Finance and Public Policy
Authors: Jonathan Gruber
5th edition
1464143331, 978-1464143335
