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Rylan Industries Is Expected to Pay a Dividend of $5

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Rylan Industries is expected to pay a dividend of $5.20 per share for the next four years. If the current price of Rylan stock is $32.63, and Rylan's equity cost of capital is 14%, what price would you expect Rylan's stock to sell for at the end of the four years?

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Definitions:

Repression

A defense mechanism where an individual unconsciously pushes disturbing thoughts, desires, or experiences out of conscious awareness.

Anxiety

A mental health disorder characterized by feelings of worry, anxiety, or fear that are strong enough to interfere with one’s daily activities.

Unconscious

An area of the mind not accessible to conscious thought, though it impacts emotions and actions.

Conscious

Being aware of and responsive to one's surroundings; involves the awareness of thoughts, feelings, and sensations.

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