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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Tresnan Brothers is expected to pay a $2.30 per share dividend at the end of the year (i.e., D1 = $2.30). The dividend is expected to grow at a constant rate of 6% a year.
The required rate of return on the stock, rs, is 16%. What is the stock's current value per share? Round your answer to the nearest cent.
$
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Transcribed Image Text:Tresnan Brothers is expected to pay a $2.30 per share dividend at the end of the year (i.e., D1 = $2.30). The dividend is expected to grow at a constant rate of 6% a year. The required rate of return on the stock, rs, is 16%. What is the stock's current value per share? Round your answer to the nearest cent. $
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