3. Price is (Required) Q3: Firm A will pay a dividend of 200 per share a year from now and forever. Financial analyst Jo
Posted: Thu May 26, 2022 7:11 am
3. Price is (Required) Q3: Firm A will pay a dividend of 200 per share a year from now and forever. Financial analyst Joe thinks that the required return (R) on this stock is 5%, given his assessment of Firm A's risk. What is the price of Firm A? 4. Price is (Required) Q4: Firm B will pay a dividend of 300 per share a year from now. This dividend is expected to grow at 5% per year for the foreseeable future. The required return on this stock is 20%, what is the price of Firm B?