Antiques R Us is a mature manufacturing firm. The company just paid a dividend of $12.40,...

Transcribed Image Text:

Antiques R Us is a mature manufacturing firm. The company just paid a dividend of $12.40, but management expects to reduce the payout by 5.25 percent per year, indefinitely. If you require a return of 8 percent on this stock, what will you pay for a share today? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Antiques R Us is a mature manufacturing firm. The company just paid a dividend of $12.40, but management expects to reduce the payout by 5.25 percent per year, indefinitely. If you require a return of 8 percent on this stock, what will you pay for a share today? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.