Problem 9.14 – Computech Corporation

Fundamentals of Financial Management, Concise

Brigham and Houston

09th Edition, 10th Edition, and 11th Edition

5
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Difficulty – Medium

Computech is expanding rapidly but does not currently pay dividends. However, investors expect Computech to start paying dividends years into the future. Given the assumptions in the problem, what is the value of a stock today?

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