Trend-line inc has been growing at a rate of 6 percent per


Trend-line Inc. has been growing at a rate of 6 percent per year and is expected to continue to do so indefinitely. The next dividend is expected to be $5 per share. If Trend-line's earnings per share will be $8 due to assets in place, and if the market expects a 10 percent rate of return on Trend-line, what part of Trend-line's value is due to growth opportunities?

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Finance Basics: Trend-line inc has been growing at a rate of 6 percent per
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