Question

The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 15 percent a year for the next 4 years and then decreasing the growth rate to 4 percent per year. The company just paid its annual dividend in the amount of $1.50 per share. What is the current value of one share of this stock if the required rate of return is 7.00 percent?A. $78.09B. $90.95C. $69.38D. $92.45E. $76.59

Answer 1

The current stock price per share = $76.59

Step-by-step explanation:

Please see attachment . The current stock price per share = $76.59 (E. $76.59)