Discraft Inc is expected to pay an annual dividend of $1 at the end of the current year. (Discraft pays its dividends annually.) The dividend is expected to grow quickly over the ensuing year at the rate of 20%
Starting two years from today the growth rate of dividends will fall to a rate of 3% and continue at that rate in perpetuity. Investors require a 12% return on the stock. Estimate the market price of the shares of Discraft in one year's time (at Year 1 ) just after the next dividend is paid.
A) $11.24
B) $11.62
C) $12.80
D) $13.33
E) $14.82
D
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A. Price B. Place C. Product D. Promotion
Which of the following is traditionally found in a written contract of employment?
A) a standard period of probation B) details about vacation and sick leave allowances C) the manner in which the contract of employment can be terminated D) description of job duties E) All of the above