Miller Corporation just paid a dividend of $1.25 a share (that is, D0=$1.25). The dividend is expected to grow 10% a year for the next 3 years and then at 6% a year thereafter.  What is the expected dividend per share for each of the next 5 years?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter8: Basic Stock Valuation
Section: Chapter Questions
Problem 1P: Thress Industries just paid a dividend of 1.50 a share (i.e., D0 = 1.50). The dividend is expected...
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Miller Corporation just paid a dividend of $1.25 a share (that is, D0=$1.25). The dividend is expected to grow 10% a year for the next 3 years and then at 6% a year thereafter. 

What is the expected dividend per share for each of the next 5 years?

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