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Other Fields Homework Help Finance Topic started by: Memphic on Nov 19, 2017



Title: Wyatt Oil presently pays no dividend. You anticipate Wyatt Oil will pay an annual dividend of $0.56 ...
Post by: Memphic on Nov 19, 2017
Wyatt Oil presently pays no dividend. You anticipate Wyatt Oil will pay an annual dividend of $0.56 per share two years from today and you expect dividends to grow by 4% per year thereafter. IF Wyatt Oil's equity cost of capital is 12%, then the value of a share of Wyatt Oil today is:
A) $4.67
B) $5.00
C) $6.25
D) $7.00


Title: Re: Wyatt Oil presently pays no dividend. You anticipate Wyatt Oil will pay an annual dividend of ...
Post by: deusmaroto on Nov 19, 2017
C
Explanation:  C) P0 =   +   = $6.25