The dividends are discounted at a rate of 830 every year
The stock of a firm will pay a dividend of $13 a year from now. The dividend paid by the firm will increase at a rate 3% every year. The dividends are discounted at a rate of 8.30% every year. What is the price of the stock today?
Now Priced at $10 (50% Discount)
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the stock of a firm will pay a dividend of 13 a year from now the dividend paid by the firm will increase at a rate 3
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