Please show steps, equations and reasoning. Thank you! The next three dividends for ABC are expected...

Question

Question

The next three dividends for ABC are expected to be $0.50, $1.00, and $1.50. Then the dividends are expected to grow at a con

Please show steps, equations and reasoning. Thank you!

Answer 1

Answer #1

3 4 5 - - - - from 0.5 1 1.5 year in growth = st. Y = 1.5 (105) Ys = 1:5 (1:05) 2 Y = 1.5(1.053 till infinity . a , V = value

Answer 2

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