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What is the present value of these future benefits

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Question: Jack Hammer invests in a stock that will pay dividends of $3.08 at the end of the first year; $3.46 at the end of the second year; and $3.84 at the end of the third year. Also at the end of the third year he believes he will be able to sell the stock for $58.

What is the present value of these future benefits if a discount rate of 8 percent is applied? (Use a Financial calculator to arrive at the answers. Round the final answers to 2 decimal places.)

Reference no: EM132756194

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