Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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A stock is expected to pay a dividend of $1.00
at the end of the year (i.e., D1 = $1.00), and it
should continue to grow at a constant rate of
9% a year. If its required return is 14%, what is
the stock's expected price 2 years from
today? Do not round intermediate
calculations. Round your answer to the
nearest cent.
$|
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Transcribed Image Text:A stock is expected to pay a dividend of $1.00 at the end of the year (i.e., D1 = $1.00), and it should continue to grow at a constant rate of 9% a year. If its required return is 14%, what is the stock's expected price 2 years from today? Do not round intermediate calculations. Round your answer to the nearest cent. $|
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