Question: ( please include steps, i will make sure to rate answer if its correct < 3 ) BK Pharm recently paid $ 2 per share.
please include steps, i will make sure to rate answer if its correct
BK Pharm recently paid $ per share. The company just got a patent for a new drug and
the patent right expires at the end of th year. Financial analysts now estimate that the
company will grow at a rate of until the patent right expires and at normal rate of
thereafter. The required rate of return on BK stock is
a Estimate expected dividends for next years
b Estimate the stock price at the end of th year
c Find the value of stock today.
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