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Business, 06.06.2020 19:58 ICyberAngel

you plan to buy a share of xyz stock today. You do not expect a dividend at the end of year 1, bout you expect a dividend of $9.25 at the end of year 2, $7.00 at the end of year 3, and $5.00 at the end of year 4. In additon, you expect to sell the stock for $150 immediately after you recieve the dividend at the end of year 2. If your requiered rate of return is 16% a year, how much should you pay for this stock today?

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