Question: please help I will thumbs up 35. Rosas, Inc will not pay a dividend for two years. Three years from today, the company will pay

please help I will thumbs up

please help I will thumbs up 35. Rosas, Inc will not pay

35. Rosas, Inc will not pay a dividend for two years. Three years from today, the company will pay out a dividend of $3.30 (i.e., D3 = 3.30). After that, the dividend will grow at 6% per year forever. If the required rate of return on Rosas' stock is 14%, the stock's current price (i.e., Po) is $ 36. Dr. Lee plans to add Sony, Inc. stock to his investment portfolio. The stock just paid a dividend of $1.50 (i.e., Do = 1.50). He expects that the dividend will grow at 20% for the next two years and 4% forever after that. Assuming a discount rate of 13%, Dr. Lee knows that Sony, Inc stock is worth $

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