Last year Artworks, Inc. paid a
dividend of $3.50. You anticipate that the company's growth rate is 10 percent
and have a required rate of return of 15 percent for this type of equity
investment.
What is the maximum price you would be willing to pay for the
stock?
TUTORIAL PREVIEW
D1
= D0 (1 + g) =3.85
File name Last
year Artworks.docx File type: docx PRICE: $2
