Price of fairfax paint stock expected to be in two years

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cFairfax Paint stock is expected to pay a dividend of 3.39 dollars in 1 year and a dividend of 4.64 dollars in 2 years. The stock is currently priced at 87.58 dollars and is expected to be priced at 95.24 dollars in 1 year. What is the price of Fairfax Paint stock expected to be in 2 years? The stock’s dividend is paid annually and the next dividend is expected in 1 year. (Please show work and what formulas were used)

Reference no: EM131873156

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