Currently, Non Stick Gum Inc pays no dividend However, analysts fore cast that in 4 years Non Stick will pay its first annual dividend of $ 50 and dividends will grow at 6 per year thereafter If stocks with similar risk to the equity of Non Stick Gum currently earn a return of 12 , estimate the cur...

Currently, Non-Stick Gum Inc. pays no dividend. However, analysts fore cast that in 4 years Non-Stick will

Question:

Currently, Non-Stick Gum Inc. pays no However, analysts fore· cast that in 4 years Non-Stick will pay its first annual of $.50 and dividends will grow at 6% per year thereafter. If with similar risk to the equity of Non-Stick Gum currently earn a return of 12%, estimate the current share price of Non-Stick.
Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...