FAU FIN 3403 Supernormal Growth Problems - The Music Hut...

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The Music Hut just paid an annual dividend of $1.05 a share. The projected dividends for the next five years are $1.07, $1.10, $1.15, $1.20, and $1.25, respectively. After that time, the dividends will be held constant at $1.40 per share. What is this stock worth today at a 12.5 percent discount rate?
Cellular Talk is a new firm in a rapidly growing industry. The company is planning on increasingits annual dividend by 25 percent a year for the next three years and then decreasing the growth

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