A stock just paid $2 dividend yesterday. The dividend is expected to grow at 3.6% per year thereafter. If the beta of th

Business, Finance, Economics, Accounting, Operations Management, Computer Science, Electrical Engineering, Mechanical Engineering, Civil Engineering, Chemical Engineering, Algebra, Precalculus, Statistics and Probabilty, Advanced Math, Physics, Chemistry, Biology, Nursing, Psychology, Certifications, Tests, Prep, and more.
Post Reply
answerhappygod
Site Admin
Posts: 899603
Joined: Mon Aug 02, 2021 8:13 am

A stock just paid $2 dividend yesterday. The dividend is expected to grow at 3.6% per year thereafter. If the beta of th

Post by answerhappygod »

A stock just paid $2 dividend yesterday. The dividend is
expected to grow at 3.6% per year thereafter. If the beta of the
stock is 1.2, risk-free rate is 3.5%, and the market risk premium
is 6%, then using the dividend discount model, the stock price
should be _______. (Round your answer to two decimal places, such
as 12.34)
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!
Top
Post Reply

Return to “Archived Questions & Answers”