The bell weather co. is a new firm in a rapidly growing industry. the company is planning on increasing its annual dividend by 20% a year for the next four years and then decreasing the growth rate to 5% per year. the company just paid its annual dividend in the amount of $1.00 per share. what is the current value of one share if the required rate of return is 9.25%?

Intrinsic Value = $38.0025

Explanation:

Fist, we calcualte the increase of the dividends, by multipling by (1+growth) 1.20 until year 4.

At year 5 we multiply by 1.05

Because from here the company will have a fixed growth rate, we can apply the dividend growth model

1.52838/ (0.0925-0.05) = 51.2301

Next we have to bring all these dividends, which are placed in futures date, to present value:

for example

PV = 1.3252

Lastly, we add all the PV to get the intrinsic value of the share today.

the correct answer is - no.

winnipeg, canada, is not further away from the equator than moscow, russia, in fact moscow is the city that is further away from the equator. moscow is on a latitude of 55.7558° north, while winnipeg is on a latitude of 49.8951° north, thus putting moscow by 5.8607° further away from the equator than winnipeg is.

answernet income for 2017 will be greater if the inventory quantity declines;