Best Value Outlet recently announced that it intends to pay dividends of $.40, $.60, $.75, and $1.00 per share over the next four years, respectively. After that, the plan is to increase the dividend by 3.5 percent annually. What is the current value of this stock if the applicable discount rate is 13.5 percent?

Answer rating: 100% (QA)

To calculate the current value of the stock we need to find the present value of all the future divi... View the full answer