Hoosier Electronics stock is currently priced at $18 per share. An investment expects the stock to...
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Hoosier Electronics stock is currently priced at $18 per share. An investment expects the stock to pay the following dividends over the next 3 years: YEAR DIVIDEND 1 $1.00 2 $1.25 3 $1.50 An investor would like a 10% annual return over the next 3 years. To achieve this return, what will Hoosier Electronics stock need to sell for in exactly 3 years? Hoosier Electronics stock is currently priced at $18 per share. An investment expects the stock to pay the following dividends over the next 3 years: YEAR DIVIDEND 1 $1.00 2 $1.25 3 $1.50 An investor would like a 10% annual return over the next 3 years. To achieve this return, what will Hoosier Electronics stock need to sell for in exactly 3 years?
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Answer rating: 100% (QA)
To calculate the future value of the stock in three years we need to find the present value of all t... View the full answer
Related Book For
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
Posted Date:
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