A stock is expected to pay a dividend of $1.25 at the end of the year. The required rate of return is rs = 11.7%, and th

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answerhappygod
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A stock is expected to pay a dividend of $1.25 at the end of the year. The required rate of return is rs = 11.7%, and th

Post by answerhappygod »

A stock is expected to pay a dividend of $1.25 at the end of the
year. The required rate of return is rs = 11.7%,
and the expected constant growth rate is g = 8.2%. What is the
stock's current price?
If D1 = $1.75, g (which is constant) = 4.7%, and
P0 = $28.00, then what is the stock's expected
dividend yield for the coming year?
If D0 = $3.90, g (which is constant) = 3.5%, and
P0 = $42, then what is the stock's expected
dividend yield for the coming year?
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