Monday, April 11, 2011

Stock Seven

Stock Seven just paid a dividend of $5. Dividends are expected to grow at 0% for 20 years and thereafter growth is expect to rise to 2% to infinity. What is the current share price if the cost of capital is 10%?

2 comments:

  1. Hi sir,student from sg.Was searching thru your ppt slides for the stock description for stock first to stock seventh.However i cant seem to spot.Will greatly appreciate if you could direct me to the slide number.Thank You.

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  2. hey was browsing around when i saw your comment, the stock questions are in the excel spreadsheets, not the ppt slides. hope that helped!

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