You have forecast that United Sports, Inc. will pay a dividend of $0 next year (in...

You have forecast that United Sports, Inc. will pay a dividend of $0 next year (in time 1), $.20 two years from now (in time 2), $.50 three years from now (in time 3) and $1.00 four years from now (in time 4). For dividends beyond four years, you assume they will increase at 6% per year from the prior year. If the discount rate is 9%, calculate a fair price for the stock of United Sports, Inc.

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jeff jeffy answered 2 years ago

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