What will the price he in three years


Problem: Stock Values

The Stopperside Wardrobe Co. just paid a dividend of $1.45 per share on its stock. The dividends are expected to grow at a constant rate of 6% per year indefinitely. If investors require an 11% return on The Stopperside Wardrobe Co. stock, what is the current price? What will the price he in three years? In 15 years?

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Financial Accounting: What will the price he in three years
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