The industry has a constant growth rate

Reference no: EM1333223

Question about price of the stock

Laser Optics will pay a common stock dividend of $1.60 at the end of the year (D1). The required rate of return on common stock (Ke) is 13 percent. The firm has a constant growth rate (g) of 7 percent. Compute the current price of the stock (P0).

Reference no: EM1333223

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