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Hart Enterprises recently paid a dividend, Do, of $1.25. It expects to have nonconstant growth of 20% for 2 years followed by a constant rate of 5% thereafter. The firm's required return is 10%.

How far away is the firm's terminal, or horizon,date?

What is the firm's horizon, or terminal, value?

What is the firm's intrinsic value today, Po?

 

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M9877324

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