Green Corporation just paid its annual dividend of $0.10 per share. Green expects to increase its dividends at a rate of roughly 3% per annum, in perpetuity. Stock market participants require a 10% per annum return on stocks of this risk class. What is the estimated value of the stock today (=0)? Round to four decimal places.

Answer rating: 100% (QA)

To calculate the estimated value of the stock today we can use the Gordon Growth Mo... View the full answer