Stellar Company is one of the renowned companies of the town, which deals in leather items. The
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Stellar Company is one of the renowned companies of the town, which deals in leather items. The product line of the company ranges from a leather keychain to leather jackets. The company currently pays a dividend of Rs 21.00 per share on its common stock and it expects to increase the dividend at constant growth of 7% forever. The company has set this growth by keeping the expected life earnings into consideration.
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What value should you place on a share of this stock if you're require rate return for this company share is 14%?
Related Book For
Financial Accounting An Integrated Statements Approach
ISBN: 978-0324312119
2nd Edition
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
Posted Date: