The Alberta Inc. just paid a dividend of $2 per share on its stock. The dividends are expected to grow at a constant rate of 5% per year indefinitely. What will the dividend be in 4 years? Multiple choice question. $2.32 $2.55 $2.10 $2.43

The Alberta Inc. just paid a dividend of $2 per share on its stock. The dividends are expected to grow at a constant rate of 5% per year indefinitely. What will the dividend be in 4 years? Multiple choice question. $2.32 $2.55 $2.10 $2.43

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter7: Common Stock: Characteristics, Valuation, And Issuance

Section: Chapter Questions

Problem 6P

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Question

The Alberta Inc. just paid a dividend of $2 per share on its stock. The dividends are expected to grow at a constant rate of 5% per year indefinitely. What will the dividend be in 4 years?

Multiple choice question.

$2.32

$2.55

$2.10

$2.43

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