Dividend discount model- urgent help
Anonymous (-) (279 Points)
01 March 2017Anonymous (-) (279 Points)
01 March 2017
umesh
(Student CA Final )
(147 Points)
Replied 02 March 2017
Growth rate is to be applied when the data for the dividend given is for past years i.e when Do is given
to make it D1 we multiply by (1+ growth rate)
in your case dividend data given is D1 so growth rate is not multiplied
Anonymous
(-)
(279 Points)
Replied 02 March 2017
Isn't Rs. 2.75 current dividend, that implies Do? D1 is expected divedend for next year right?