Business, 22.11.2019 20:31 alivas6618
You wish to earn a return of 13% on each of two stocks, x and y. stock x is expected to pay a dividend of $3 in the upcoming year while stock y is expected to pay a dividend of $4 in the upcoming year. the expected growth rate of dividends for both stocks is 7%. the intrinsic value of stock x
a. cannot be calculated without knowing the market rate of return
b. will be greater than the intrinsic value of stock y
c. will be the same as the intrinsic value of stock y
d. will be less than the intrinsic value of stock y
e. none of the above is a correct answer.
Answers: 1
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You wish to earn a return of 13% on each of two stocks, x and y. stock x is expected to pay a divide...
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