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The Expected Dividend Per Share

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Warr Corporation just paid a dividend of $1.50 a share (that is Do = $1.50). The dividend is expected to grow 7 percent a year for the next 3 years and then at 5 percent a year thereafter. What is the expected dividend per share for each of the next 5 years? Calculations must be shown.

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Solution Summary

The expected dividend per share for the next 5 years is calculated.

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Jayant Kumar, MBA
Education
  • MBA, Indian Institute of Finance
  • Bsc, Madras University
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