Question: Suppose that you estimate that REIT Corporation, will skip its next two annual dividends, but then resume paying a dividend, with the first dividend paid

 Suppose that you estimate that REIT Corporation, will skip its next

Suppose that you estimate that REIT Corporation, will skip its next two annual dividends, but then resume paying a dividend, with the first dividend paid to be equal to $2.00. (Thus, the initial timing of the first dividend payment is t=3) If all subsequent dividends will grow at a constant rate of 5% per year and the required rate of return on REIT is 10% per year, what should be its price? a 34.55 36.28 30.05 33.06

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