What is the amount of the dividend

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1) Firm Z paid a dividend of $2.01 per share this morning. Dividends are expected to grow at an annual rate of 5.8% per year forever. What is the amount of the dividend that will be paid 10 years from now? Round your answer to the nearest cent.

2) Firm B paid a dividend of $1.5 per share this morning. Dividends are expected to grow at an annual rate of 10% per year for the next 3 years. After that, dividends will grow at 2.2% per year forever. What is the amount of the dividend that will be paid 4 years from now? Round your answer to the nearest cent.

3) Firm M intends to pay a dividend of $1.01 per share at the end of the year, $2.5 per share two years from now and $3.66 per share three years from now. If the required return on the stock is 4.9%, what is the net present value (i.e., sum of the present values) of these dividends? Round your answer to the nearest cent.

Reference no: EM131728490

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