Question: Ch 09- Stocks (Homework - from EOC problems) Back to Assignment is Attempts Average / 1 9. Problem 9.14 (Nonconstant Growth) ebook Problem Walkthrough Computech

 Ch 09- Stocks (Homework - from EOC problems) Back to Assignment

Ch 09- Stocks (Homework - from EOC problems) Back to Assignment is Attempts Average / 1 9. Problem 9.14 (Nonconstant Growth) ebook Problem Walkthrough Computech Corporation is expanding rapidly and currently needs to retain all of its camingu hence, it does not pay dividends. However, investors spect Computech to begin paying dividends, beginning with a dividend of $0.75 coming 3 years from today. The dividend should grow rapidly--at are of 34 per year-cuning years & ans, but after years growth should be a constant 95 per year. If the required return on Computech s 14%, what the value of the stock today? Do not come intermediate calculations. Bound your answer to the nearest cert, $

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