Current price=D1/(Required return-Growth rate)
=(1.45*1.06)/(0.11-0.06)
=$30.74
P3=Current price*(1+Growth rate)^3
=30.74*(1.06)^3
=$36.61(Approx).
P15=Current price*(1+Growth rate)^15
=30.74*(1.06)^15
=$73.67(Approx).
The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.45 per share on its stock. The...
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