Question
I've posted this question once already and really need help.
You buy 100 shares of XYZ at $40 per share.XZ pays an annual dividend of $2.00 and offers an automatic dividend reinvestment plan.Assume that the dividend will remain constant over the next 5 years and that the stock will increase 5% each year.How much will you XYZ investment be worth after 5 years if you partake of the dividend reinvestment plan?
You buy 100 shares of XYZ at $40 per share.XZ pays an annual dividend of $2.00 and offers an automatic dividend reinvestment plan.Assume that the dividend will remain constant over the next 5 years and that the stock will increase 5% each year.How much will you XYZ investment be worth after 5 years if you partake of the dividend reinvestment plan?