Bigtown Inc. will pay a dividend of $1.50 next year. The stock price is $13.39 currently, with a beta of 0.9. The market risk premium is 8% and the risk-free rate is 6%. What will the price of Bigtown's stock be if the dividend growth rate doubles?

$16.30 is the price

Explanation:

Firstly, we need to calculate the value of r

R = (D1/P) + g

Now, putting the figures in the above formula, we get

G = 2%

as the growth rate has doubled, then g = 4

the price of the stock = D1/(r-g) =

therefore, as per the above calculations, the price of the stock is $16.30 .

c

explanation:

c because the item on a bank statement is also referred to as an account statement. in addition, it provides the beginning balance, ending balance, statement date, transaction date for each transaction, payee, customer name and address, statement period, the account holder's account number, and the bank's customer service number

answer; (c) communism and socialism;