Abc company is not currently paying cash dividends but is


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ABC company is not currently paying cash dividends, but is expected to initiate its first ever dividend of $20 per share three years from today.

The dividend is then expected to grow at 10% forever thereafter. If your required rate of return is 15%, how much are you willing to pay for the stock?

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Financial Management: Abc company is not currently paying cash dividends but is
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