Estimate the intrinsic value of Carma Corp. using the dividend discount model under each of the following separate assumptions:
a. The dividend is expected to last into perpetuity.
b. The dividend will be $0.95 next year and then will grow at a rate of 5% per year.
c. The dividend will be $0.85 for the next four years and then will grow at a rate of 5%.
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Home » Business » Estimate the intrinsic value of Carma Corp. using the dividend discount model under each of the following separate assumptions: a. The dividend is expected to last into perpetuity. b. The dividend will be $0.