Suppose a company has earnings of $1 million in year 1 and expects those earnings to grow
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Suppose a company has earnings of $1 million in year 1 and expects those earnings to grow at a rate of 4% per year indefinitely. If the appropriate discount rate is 6%, what is the present value of the company's earnings stream?
Related Book For
Principles Of Managerial Finance
ISBN: 978-0136119463
13th Edition
Authors: Lawrence J. Gitman, Chad J. Zutter
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