You have just purchased the stock of mature company which


You have just purchased the stock of Mature Company, which is expected to pay dividends of $1.03 next year. The company just paid dividends of $1. This growth rate is expected to continue indefinitely. You require a 10% return on your investment. What will your capital gains be if you sell the stock in three years?

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Financial Management: You have just purchased the stock of mature company which
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