Question: Please answer C C. We have the following information for the Valverde company. The stock pays a $10 dividend, and it will grow by 100%
Please answer C
C. We have the following information for the Valverde company. The stock pays a $10 dividend, and it will grow by 100% the first year, 30% the second year and 3% forever after that. You know the ROR in the S&P 500 is 11%, the Bheta is 1.2 and the Treasury bond rate is 4%. Derive the value of Valverde
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