Using the constant growth dividend model what is the


Amazon pays a $2.75 dividend right now. You expect this dividend to grow at 4.75% a year indefinitely. Given the risks inherent in this forecast, you demand an 8.25% return on this investment. Using the Constant Growth Dividend model, what is the maximum you would pay for the stock? Show work.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Using the constant growth dividend model what is the
Reference No:- TGS02405339

Expected delivery within 24 Hours