The dividends are expected to grow at a constant rate of 6


Contrail Air Inc., Just paid a dividend of $3.15 per share on its stock. The dividends are expected to grow at a constant rate of 6% percent per year, indefinitely. If investors require a return of 8% percent, what is the current price?

Dividend paid $3.15

Dividend growth rate  6%

Required return 8%

Requested year 0

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Finance Basics: The dividends are expected to grow at a constant rate of 6
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