Wheat inc just paid its annual dividends of 200 dividends, Ask an Expert

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Wheat Inc. just paid its annual dividends of $2.00. Dividends is expected to grow at annual rate of 18% for 3 years and at 15% for the following 2 years, then dividend is expected to gr4ow at a constant rate of 6% indefinitely. Required rate of return on Wheat Inc. stock is 14%.

a) What is the current value of one share of Wheat Inc. stocks today?

b) What would be the expected price in 11 years?

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Basic Finance, Finance

Category:- Basic Finance
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