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Dividend Expectation: Warr Corporation

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7-1 Warr Corporation just paid a dividend of $1.50 a share. The dividend is expected to grow 5% a year for the next 3 years and 10% a year thereafter. What is the expected dividend per share for each of the next 5 years?

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The solution explains how to calculate the expected dividends given the growth rate

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In the first 3 years the dividends grow by 5% and then by 10%. ...

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