What is the value of the share


Problem

A company pays semi-annual dividends. The next dividend (in 6 months) is expected to be $2, and this is expected to grow at an APR of 4% p.a. or 2% every 6 months in perpetuity. If the equity cost of capital is 9% p.a., what is the value of the share?

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: What is the value of the share
Reference No:- TGS03316288

Expected delivery within 24 Hours