Value of dividends and future pricenbspa firm is expected, Ask an Expert

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Value of Dividends and Future Price

A firm is expected to pay a dividend of $2.75 next year and $2.90 the following year. Financial analysts believe the stock will be at their price target of $50 in two years.

Compute the value of this stock with a required return of 12.7 percent. (Round your answer to 2 decimal places.)

Value of stock $

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92408650

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