Zipliners R Us is a fairly new business with a market price of $30 and Rose Gardens anticipates that their dividends will grow at a rate of 3% for the foreseeable future. The next dividend is expected to be $1.50. Calculate the value of the securities, recommend to Rose Gardens if the investment will make the sense if they have $50,000 to invest and the expected rate of return for all securities mentioned above is 7%

Zipliners R Us is a fairly new business with a market price of $30 and Rose Gardens anticipates that their dividends will grow at a rate of 3% for the foreseeable future. The next dividend is expected to be $1.50. Calculate the value of the securities, recommend to Rose Gardens if the investment will make the sense if they have $50,000 to invest and the expected rate of return for all securities mentioned above is 7%

Name: Zipliners R Us is a fairly new business with a market price of $30 and
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Description: Zipliners R Us is a fairly new business with a market price of $30 and Rose Gardens anticipates that their dividends will grow at a rate of 3% for the foreseeable future. The next dividend is expected to be $1.50.Calculate the value of the securities

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter7: Common Stock: Characteristics, Valuation, And Issuance

Section: Chapter Questions

Problem 16P

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