What is the current price per share

Reference no: EM13269390

The farmers market just paid an annual dividend of $5 on its stock. The growth rate in dividends is expected to be a constant 5% per year indefinitely. Suppose investors require a 13% return on the stock for the first 3years, a 9% return for the next 3 years, a 7 percent return thereafter. A) what is the stock price in 6 years b) what is the price in 3 years? C) what is the current price per share.

Reference no: EM13269390

Questions Cloud

Management critical to addressing client''s problems : Why is case management critical to addressing client's problems? What happens when client's do not receive appropriate case management?

Calculate the accounting rate of return : Depreciation is computed by the straight-line method. During the life of the investment, annual net income and cash inflows are expected to be $25,000 and $75,000, respectively. Mimi's minimum required rate of return is 10%

Compute the percentage composition by mass : Calculate the percentage composition by mass of each of the elements in sulfuric acid. Report each of your answers to 4 significant figures

Culture and the elements of its observable culture : Using an organization with which you are familiar, identify its core culture and the elements of its observable culture as defined by Senge. What do you think would need to be changed in order to facilitate learning? What role would organizational de..

What is the current price per share : The farmers market just paid an annual dividend of $5 on its stock. The growth rate in dividends is expected to be a constant 5% per year indefinitely.

Explain preparing an alcohol using grignard reaction : Give five very important precautions to be taken into consideration while preparing an alcohol using Grignard reaction, explain each one

What was the annual return you earned on this investment : How much will you have when the bond is retired after twelve years? What was the annual return you earned on this investment?

Find the ratio of projectile maximum height to planet radius : Consider an airless, non-rotating planet of mass M and radius R. Calculate the ratio h/R of the projectile's maximum height to the planet's radius

Explain the frog to increase its mass : A frog with the a mass of 4.60 oz can catch 2.0 flies every 3.5secs. if the avg. fly has a mass of 2.5mg how long will it take the frog to increase its mass to .35kg

User Account

All Pages