What will one share of this common stock be worth

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Reference no: EM131878185

1. Winter Time Adventures is going to pay an annual dividend of $3.14 a share on its common stock next week. This year, the company paid a dividend of $3.00 a share. The company adheres to a constant rate of growth dividend policy. What will one share of this common stock be worth 11 years from now if the applicable discount rate is 9.0 percent?

$114.34

$142.77

$129.44

$110.64

$119.67

2. Warr Corporation just paid a dividend of $2.25 a share (that is, D0 = $2.25). The dividend is expected to grow 7% a year for the next 3 years and then at 4% a year thereafter. What is the expected dividend per share for each of the next 5 years? Round your answers to two decimal places.

D1= $___

D2= $___

D3= $___

D4= $___

D5= $___

Reference no: EM131878185

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