You own 1650 shares of stock in avondale corporation you


You own 1,650 shares of stock in Avondale Corporation. You will receive a dividend of $1.50 per share in one year. In two years, Avondale will pay a liquidating dividend of $54 per share. The required return on the company's stock is 20 percent. Suppose you want only $900 total in dividends the first year. What will your total homemade dividend be in two years?

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Financial Management: You own 1650 shares of stock in avondale corporation you
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