In one year from now your company is expected to pay a dividend of $2 pershare. The growthrate of the dividend is expect

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answerhappygod
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In one year from now your company is expected to pay a dividend of $2 pershare. The growthrate of the dividend is expect

Post by answerhappygod »

In one year from now your company is expected to pay a dividend
of $2 pershare. The growthrate of the dividend is expected to be
constant at 10% per year. The required return is 12%. What is your
firm’s stock currently worth?
A) $0.40
B) $13.33
C) $20
D) $100
E) $110
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