Question: Hello! I am looking for some help with these two finance questions! I just can't seem to get them right! Thank you! Problem 7-1 DPS


Hello! I am looking for some help with these two finance questions! I just can't seem to get them right! Thank you!


Problem 7-1 DPS Calculation Thress Industries just paid a dividend of $2-50 a share (Le., Do = $2.50). The dividend is expected to grow 8% a year for the next 3 year and then IIS a year thereafter. What is the expected dividend per share for each of the next 5 years? Round your answers to the nearest cent b. D2 -$ d. D e. Dy -Problem 7-12 Nonconstant Growth Stock Valuation Assume that the average firm in your company's industry is expected to grow at a constant rate of 6% and that its dividend yield is 8%. Your company is about as risky as the average firm in the industry, but it has just successfully completed some AND work that leads you to expect that its earnings and dividends will grow at a rate of 50%% [Dj = Do(1 + g) = Do(1.50)] this year and 25%% the following year, after which growth should return to the 5% Industry average. If the last dividend paid (Do) was $1.5, what is the value per share of your firm's stock? Round your answer to the nearest cent. Do not round your intermediate computations. 101.43
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