Solution-Required return on the investment

Required return on the investment

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Bavarian sausage is expected to pay a $1.57 dividend next year and investors expect that dividend to grow by 5% each year forever. If the required return on the investment is 14%, what should the price of the stock be in 5 years?

Reference no: EM131044628

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Required return on the investment : Bavarian sausage is expected to pay a $1.57 dividend next year and investors expect that dividend to grow by 5% each year forever. If the required return on the investment is 14%, what should the price of the stock be in 5 years?

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Required return on the investment

Reference no: EM131044628

Reference no: EM131044628

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