Company HDE is expected to pay an interim dividend of $1.00 three months from now and...

Company HDE is expected to pay an interim dividend of $1.00 three months from now and a final dividend of $2.10 one year from now. HDE is then expected to repeat the same pattern every year for the foreseeable future with no growth in dividends. Given that the appropriate effective discount rate is 7.0% p.a., what is the stock price of HDE closest to today? A) $43 B) $44 C) $45 D) $46 E) None of the above

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jeff jeffy answered 6 months ago

A stock is expected to pay a dividend of $1.50 per share in three months and...

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