# A broker offers to sell you shares of Bay Area Healthcare which just paid a dividend of \$2 per share. The dividend is expected to grow at a constant…

A broker offers to sell you shares of Bay Area Healthcare which just paid a dividend of \$2 per share. The dividend is expected to grow at a constant rate of 5% per year. The stock’s required rate of return is 12%.1. What is the current value of the stock and the expected stock price at the end of each of the next three years?D1= 2r= 12%g= 5%as, Po = D1/(r-g)Hence, Pnow = 2/(12%-5%) = 2 /0.07 = \$28.57for P1, Dividend = 2*(1+0.05) = 2.1, therefore P1 = 2.1/0.07 = \$30for P2, Dividend = 2.1*(1+0.05) = 2.205, therefore P1 = 2.205/0.07 = \$31.5for P3, Dividend = 2.205*(1+0.05) = 2.31525, therefore P1 = 2.31525/0.07 = \$33.075Please answer question 22. Go one more week (your starting dividend should be \$30 and the week one dividend should be \$31.50)

## Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
\$26
The price is based on these factors:
Number of pages
Urgency
Basic features
• Free title page and bibliography
• Unlimited revisions
• Plagiarism-free guarantee
• Money-back guarantee
On-demand options
• Writer’s samples
• Part-by-part delivery
• Overnight delivery
• Copies of used sources
Paper format
• 275 words per page
• 12 pt Arial/Times New Roman
• Double line spacing
• Any citation style (APA, MLA, Chicago/Turabian, Harvard)

# Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

### Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

### Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

### Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.