Question: please help thank you book Problem Walk Through You are considering an investment in Justus Corporation's stock, which is expected to pay a dividend of
book Problem Walk Through You are considering an investment in Justus Corporation's stock, which is expected to pay a dividend of $2.25 a share at the end of the year (D. - $2.25) and has a beta of 0.9. The risk-free rate is 3,9%, and the market risk premium is 6%. Justus currently sells for 540.00 a share, and its dividend is expected to grow at some constant rate, a. Assuming the market is in equilibrium, what does the market belleve will be the stock price at the end of a year? (That is, what a Ps) Do not found intermediate calculations. Round your answer to the nearest cent. Save a continue Save & Continue book Problem Walk Through Computech Corporation is expanding rapidly and currently needs to retain all of its earnings, hence, it does not pay dividends. However, investors expect Computech to begin paying dividends, beginning with a dividend of $0.50 coming years from today. The dividend should grow rapidly - at a rate of 499 per year - during Years 4 and 5, but after years, growth should be a constant 10% per year. If the required return on Computech is 16%, what is the value of the stock today? Do not round Intermediate calculations. Round your answer to the nearest cent
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