Dividends Assignment | Professional Writing
May 22nd, 2020
Diets for You announced today that it will begin paying annual dividends next year. The following dividends will be $0.15, $0.20, $0.50, and $0.75 a share annually for the following 4 years, respectively. After that, dividends are projected to increase by 4 percent per year. How much are you willing to pay to buy one share of this stock today if your desired rate of return is 8.5 percent?
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Dividends Assignment | Professional Writing
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A. $11.67
B. $11.94
C. $12.78
D. $13.74
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