The risk free rate is 3 the market risk premium is 36 amp


Portman Industries just paid a dividend of $2.16 per share. Portman expects dividends to grow by 12% over the next year. The next year, the dividend is expected to grow at a constant rate of 2.4% per year.

The risk free rate is 3%, the market risk premium is 3.6% & the beta is 1.10. The market is at equilibrium, using the above information:
What are the dividends 1 year from now?

2.7746

2.5368

2.4192

2.4773 

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Finance Basics: The risk free rate is 3 the market risk premium is 36 amp
Reference No:- TGS01516649

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