Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. the risk-free rate is 3.29% and the market risk pr

The risk-free rate is 3.29% and the market risk premium is 8.18%. A stock with...

60.1K

Verified Solution

Question

Finance

The risk-free rate is 3.29% and the market risk premium is 8.18%. A stock with a of 1.80 just paid a dividend of $2.86. The dividend is expected to grow at 21.38% for three years and then grow at 4.92% forever. What is the value of the stock?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Mechanical Engineering
1.2K views

State the importance of using superheaters and reheaters in standalone steam power plants and in combined cycle...

Physics
1.2K views

source of light Cylindrica Why are multiple colours observed over a thin film of oil...

Physics
1.2K views

A particle with total energy E is moving in a potential energy region U x...

Geometry
1.2K views

A circus owner wants to place an ATM at a location that is equidistant from...

Calculus
1.2K views

8 Find y by implicit differentiation simplify your answer completely 3 dy 4 45 T...

Calculus
1.2K views

Discuss the continuity of the function f x x x 3 2 4 1 3...

Accounting
1.2K views

HHi expert, just provide the correct answer. Will rate you asap. The historical cost...

Accounting
1.2K views

Sales and purchase-related transactions using perpetual inventory...

Accounting
1.2K views

simulation discuss at least 3 initiatives you would recommend. For each initiative, discuss: The...

Accounting
1.2K views

Please use the 4 excel sheets to answer the question ...

Accounting
1.2K views

Prepare the journal entries (from the worksheet) to reflect all pension plan transactions and events...

Accounting
1.2K views

Multinational corporations can be U.S. companies with operations in other countries. True or False?