Corporate Finance
Corporate Finance
12th Edition
ISBN: 9781259918940
Author: Ross, Stephen A.
Publisher: Mcgraw-hill Education,
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Chapter 9, Problem 22QAP

Finding the Dividend Newkirk, Inc., is expected to pay equal dividends at the end of each of the next two years. Thereafter, the dividend will grow at a constant annual rate of 3.5 percent, forever. The current stock price is $ 59 . What is next year’s dividend payment if the required rate of return is 11 percent?

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Corporate Finance

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