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Posted: **Tue Nov 16, 2021 8:27 am**

: Intro Ibm Just Paid An Annual Dividend Of 3 7 Per Share The Dividend Is Expected To Grow By 2 Per Year The Required 1 (65.85 KiB) Viewed 88 times

: Intro Ibm Just Paid An Annual Dividend Of 3 7 Per Share The Dividend Is Expected To Grow By 2 Per Year The Required 2 (17.89 KiB) Viewed 88 times

Intro IBM just paid an annual dividend of $3.7 per share. The dividend is expected to grow by 2% per year. The required rate of return is 12%. Part 1 IB Attempt 1/10 for 10 pts. By DDM/Gordon growth model, what is the price to sell the stock in 3 years? 1+ decimals Submit Part 2 IB Attempt 1/10 for 10 pts. If you buy the stock today, hold it, sell it in 3 years at the price computed in Part 1, what is the present value of all cashflows (D1, D2, D3, P3) you receive? 1+ decimals Submit

Part 3 Attempt 1/10 for 10 pts. By Gordon growth model, what is the current stock price? How does your answer here compare to Part 2, what do you figure? 1+ decimals Submit