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  3. 3. suppose you are looking at three companies with

3. Suppose you are looking at three companies with the following predicted dividend patterns: Edible...

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3. Suppose you are looking at three companies with the following predicted dividend patterns: Edible Eddies Fat Albert's Phil's Pancakes Year 1 2.25 2.25 2.25 Year 2 2.25 2.39 2.65 Year 3 2.25 2.53 3.05 Year 4 2.25 2.68 3.45 You expect that Edible Eddies and Fat Albert's will continue with the same dividend pattern moving forward. For Phil's Pancakes you expect it to increase its dividend by a constant 4% starting in year 5. If you require 10% return on your investments, what is the most you would be willing to pay for each company

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