Problema stock is expected to pay a 100 dividend per share, Ask an Expert

Accounting

Problem:

A stock is expected to pay a $1.00 dividend per share. The growth rate is expected to be 4%.

Required:

Question: If investors demand 10% on this stock, what is the expected price of the stock 10 years from now?

$24.68
$22.17
$25.00
$26.93

Note: Please show guided help with steps and answer.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91171736

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