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Business, 06.12.2019 00:31 amw4

Plastic pretzels stock recently paid a dividend of $1.39 per share. the dividend growth rate is expected to be 3.60% indefinitely. stockholders require a return of 11.60% on this stock.
a. what is the current intrinsic value of plastic pretzels stock? (round your answer to 2 decimal places.)
intrinsic value:
b. what would you expect the price of this stock to be in one year if its current price is equal to its intrinsic value? (round your answer to 4 decimal places.)
expected price:
c. if you were to buy plastic pretzels stock now and sell it after receiving the dividend one year from now, what would be your holding period return (hpr)? (round your answer to 2 decimal places.)
hpr:

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Plastic pretzels stock recently paid a dividend of $1.39 per share. the dividend growth rate is expe...
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