Odd dividend policy-current share price

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Reference no: EM131575541

Hot Wings, Inc., has an odd dividend policy. The company has just paid a dividend of $10.75 per share and has announced that it will increase the dividend by $8.75 per share for each of the next four years, and then never pay another dividend.

If you require a return of 15 percent on the company’s stock, how much will you pay for a share today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Current share price

Reference no: EM131575541

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