Question: 3 part question please answer all 5) Roadrunner Enterprises just paid a dividend of $3.00 per share. The dividends are expected to grow at 20%

5) Roadrunner Enterprises just paid a dividend of $3.00 per share. The dividends are expected to grow at 20% per year for the next 6 years, and then level off to 4% per year indefinitely. If the required return is 12%, estimate the dividend at the end of 6 years. A) Less than $7.00 B) $7.00 to $8.00 C) $8.00 to $9.00 D) $9.00 to $10.00 E) More than $10.00 6) For Roadrunner Enterprises, estim unner Enterprises, estimate the fair market value (FMV) of the stock at the end of 6 years. A) Less than $80.00 B) $80.00 to $100.00 C) $100.00 to $120.00 D) $120.00 to $140.00 E) More than $140.00 7) For Roadrunner Enterprises, estimate the fair market value (PMV) Of the stock now. A) Less than $80.00 B) $80.00 to $100.00 C) $100.00 to $120.00 D) $120.00 to $140.00 E) More than $140.00
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