Q4. Why is this not solved as Multi - stage RI?
Very good question.
I think when you need multi stage RI you need to have a reliable info about the growth rate for EPS. Here we have growth rate of dividends but noone tells you that dividend payout ratio will be constant so you cannot take the dividend growth rate as a proxy for EPS growth rate.
But I committed the same mistake, I calculated 10 minutes for a 4 stage growth.
Thanks, Moosey.
Wonder how does one approach this!