Question: Please show all work and include: i) timeline, ii) equation set up, iii) answer visibly circled or highlighted. Ex 6) A tech start-up company has
Please show all work and include: i) timeline, ii) equation set up, iii) answer visibly circled or highlighted.
Ex 6) A tech start-up company has just become public. It just paid $3 dividend per share, which will grow 10% for the next two dividends. Afterwards, the dividends will level off and grow at 4% per year forever. If the investors require 6% return on similar investments, what is the price of stock?Answer:
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