DiSanteand Company is a small start-up firmthat will institute a dividendpaymenta$0.25dividendforthe first time at the end of
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DiSanteand Company is a small start-up firmthat will institute a dividendpaymenta$0.25dividendforthe first time at the end of this year. The company expects rapid growth over the next four years and will increase its dividend to $0.50,then to$1.50,and then to$3.00beforesettlingintoaconstant growth dividend pattern with dividends growing at 5%every year. If you believe thatDiSanteand Company will deliver the dividend pattern and youdesirea13% return on your investment, what prices should you pay for this stock?
Related Book For
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
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