Rework Table 7.4 for horizon years 1, 2, 3, and 10, assuming that Investors expect the dividend and the stock price to I
Posted: Thu May 19, 2022 12:16 am
Rework Table 7.4 for horizon years 1, 2, 3, and 10, assuming that Investors expect the dividend and the stock price to Increase at only 6% a year and that each investor requires the same 12% expected return. What value would Dritter place on the stock and what about Zehnte who has a 10-year horizon? (Do not round Intermediate calculations. Round your answers to 2 decimal places.) PV (Dividends) S 2.68 PV (Terminal Price) Horizon (years) 1 2 Value per Share 5.20 3 10