A company just paid out an annual dividend of 2 if the


A company just paid out an annual dividend of $2. If the annual dividend is maintained at the same level for the next 5 years, and grows at 5% annually thereafter, what should be the price of a share today? Assume that the required rate of return for the stock is 15%.

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Financial Management: A company just paid out an annual dividend of 2 if the
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