Instruction for case 5 - Faculty Pages
The present value of the stock Po = sum of all present values of D1, D2 and P2 . Part 2 and 3. You calculate the dividend yield and capital gain following the formula given in the case. Problem b. Similar to problem a, except now you have the dividend growth rate of 20% for the first 5 years. After that, the growth rate is still 6%. ................
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