Home Parties is paying an annual dividend of $1.78 every other year. The last dividend was paid last year. The firm will continue this policy until two more dividend payments have been paid. Three years after the last normal dividend payment, the company plans to pay a final liquidating dividend of $32 per share. What is the current market value of this stock if the required return is 14.7 percent?

Home Parties is paying an annual dividend of $1.78 every other year. The last dividend was paid last year. The firm will continue this policy until two more dividend payments have been paid. Three years after the last normal dividend payment, the company plans to pay a final liquidating dividend of $32 per share. What is the current market value of this stock if the required return is 14.7 percent?

The current market value of this stock = $16.78.

Explanation:

Current market value of this stock = $1.78/1.147 + $1.78/1 .147∧3+ $32/1.147∧6

Current market value of this stock= 1.55187 + 1.78/1.509 + 132/2.27709

Current market value of this stock= 1.55187 + 1.17959 +  14.053

The current market value of this stock = $16.78.

you don't if you paid you paid. it's like if i bought a computer and used it then i say idon't want it anymore so im gonna return it. you can't. unlkess you have your reciept