I recently found your channel and I just need to tell you how much I appreciate the time and effort that you dedicate to all of your videos. Incredibly valuable resources ! Thanks again
Hi Anthony, Yes that is correct. Actually, all of the share prices (i.e., $100 then $119 and $124) are arbitrary. Even the $3.00 dividend is illustrative. Although it's perhaps natural to maintain it at $3.00 dring the second year, it might have alternatively grown in the second year. So, really all of the share prices and dividends are arbitrary in the sense they are INPUTS into the calculation. And this is confirmed by the fact that i highlighted their cells in YELLOW in excel (I tend to color inputs in YELLOW). Thank you!