Hi sir,
I have doubt in this question dividend growth rate.
Formula is (D0/Dn)^1/4. Why they use Dn= 30.9 instead of 35.0(2007) which is current year?? Can you please explain why they used ? Thank you sir in advance.
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AMH(june 13)
5y ago#135 is not the current year. The current year is 36.3
We are calculating the average annual growth rate over the entire history of dividends provided. The dividends grew from 30.9 to 36.3 over a four year period.
You are obviously not watching my lectures because I explain this in my lectures!
Thank you sir I understand. I see I made mistake in my calculation earlier. Now I understood thank you so much. I am watching your lectures when I find some difficulty in any topics but because of short of time I just watch few topics which I am not good that only. Thanks again.
5y ago#3You are welcome :-)
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