You own 1000 shares of stock in Avondale corporation. This company will be liquidated in three years and will pay a liquidating of Rs.172.8 per share at the end of the year 3. The requied return on the company's stock is 20 %. What is the current price of your stock (ignoring taxes)? If you would rather have equal dividends in each of the next three years, show how you can accomplish this by creating homemade dividends?

Answer rating: 100% (QA)

Current Stock Price To calculate the current price of your Avondale stockwe need to use the discount... View the full answer