JJ Industries will pay a regular dividend of $1.60 per share for each of the next four years. At the end of the four years, the company will also pay out a liquidating dividend of $53 per share, and the company will cease operations. If the discount rate is 7 percent, what is the current value of the company’s stock? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Answer rating: 100% (QA)

To find the current value of the companys stock we can calculate the present value of all the expect... View the full answer