Zade American Yachts (ZAY) expects to pay a dividend at the end of each of the...
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Zade American Yachts (ZAY) expects to pay a dividend at the end of each of the next four years of $2.00, $1.50, $2.50 and $3.50, respectively. At the very beginning of year 5, long-run growth rate is then expected to be 8.0%. Zade's required rate of return is 14%. What is the sum of the present values of the dividends during the non-constant growth period? Zade American Yachts (ZAY) expects to pay a dividend at the end of each of the next four years of $2.00, $1.50, $2.50 and $3.50, respectively. At the very beginning of year 5, long-run growth rate is then expected to be 8.0%. Zade's required rate of return is 14%. What is the sum of the present values of the dividends during the non-constant growth period?
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