Home / Questions / In mid-2015, Coca-Cola Company (KO) had a share price of $39.Its dividend was $1.00 per ye
In mid-2015, Coca-Cola Company (KO) had a share price of $39.Its dividend was $1.00 per year, and you expect Coca-Cola to raisethis dividend by approximately 7% per year in perpetuity.IfCoca-Cola’s equity cost of capital is 8%, what share price wouldyou expect based on your estimate of the dividend growth rate?
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