i need the answer quickly Procter & Gamble (PG) paid an annual dividend of $3.01 in 2021. You expect PG to increase its dividends by 8.4% per year for the next five years (through 2026), and thereafter by 3.2% per year. If the appropriate equity cost of capital forProcter & Gamble is 5.6% per year, use the dividend-discount model to estimate its value per share at the end of 2021.The price per share is $(Round to the nearest cent.)

Annual dividend = $3.01Growth rate of Dividend for first 5 years = 8.4%Growth rate of Dividend after…

Answered: Procter & Gamble (PG) paid an annual…

Procter & Gamble (PG) paid an annual dividend of $3.01 in 2021. Y Procter & Gamble is 5.6% per year, use the dividend-discount mode The price per share is $ ☐ (Round to the nearest cent.)

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter7: Common Stock: Characteristics, Valuation, And Issuance

Section: Chapter Questions

Problem 12P

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Concept explainers

Stock Yields

The stock yield is otherwise known as the dividend yield. The dividend yield is an annual payment of the stock dividends to the holder of a firm’s stock. The dividend yield is a financial ratio to measure the value of dividend payout every year for the relative stock price. The yield of a stock is usually shown in a percentage that discloses the expected future earnings from stock depending on the current stock price in the future. Stock yield will change depending on the market fluctuations and in accordance with the market fluctuations, the dividends will be increased or decreased by the firm.

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i need the answer quickly

Procter & Gamble (PG) paid an annual dividend of $3.01 in 2021. You expect PG to increase its dividends by 8.4% per year for the next five years (through 2026), and thereafter by 3.2% per year. If the appropriate equity cost of capital for
Procter & Gamble is 5.6% per year, use the dividend-discount model to estimate its value per share at the end of 2021.
The price per share is $
(Round to the nearest cent.)

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