1. Business
  2. Finance
  3. a firm pays a 1380 dividend at the end of...

Question: a firm pays a 1380 dividend at the end of...

Question details

A firm pays a $13.80 dividend at the end of year one (D1), has a stock price of $149, and a constant growth rate (g) of 5 percent.

Compute the required rate of return (Ke). (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.)

Rate of Return%=
  

Solution by an expert tutor
Blurred Solution
This question has been solved
Subscribe to see this solution