The Nearside Co. just paid a dividend of $1.15 per share on its stock. The dividends are expected to grow at a constant rate of 7 percent per year, indefinitely. Investors require a return of 12 percent on the stock. a. What is the current price

$24.61

Explanation:

Nearside corporation paid a dividend of $1.15 per share on their stocks.

The dividend have a growth rate of 7% pet year

= 7/100

= 0.07

The required rate of return on the stock is 12%

= 12/100

= 0.12

Therefore, the current price can be calculated as follows

Po= Do(1+g)/(R-g)

where Do= 1.15, g= 0.07, R= 0.12

Po= 1.15(1+0.07)/(0.12-0.07)

Po= 1.15(1.07)/0.05

Po= 1.2305/0.05

Po= $24.61

Hence the current price is $24.61

answer; ///i believe the correct answer is (c) laissez-faire;

(i know i'm late but the answer's "things about yourself" because you want to list things you're capable of, why you want to open up the business, the amount of money you're putting into it,etc.) i'm guessing you take online school small business, the answers to the quizzes are all over quizlet. just look up your question and type quizlet after it and it'll pop up.