This paper circulates around the core theme of FIN3403- Metallica Bearings, Inc., is a young start-up company. together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
10. Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next seven years, because the firm needs to plow back its earnings to fuel growth. The company will then pay a dividend of $16.75 per share 8 years from today and will increase the dividend by 6 percent per year thereafter. The required return on the stock is 14 percent.Required:What is the price of the stock 7 years from today? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Price in 7 years$ What is the current share price? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) Current share price$
