What is the present value of their dividends over the next four years?

Next year jenkins traders will pay a dividend of $3.00_answer

The present value of Jenkins Traders’ dividends over the next four years is $10.91. This can be calculated by taking the expected future dividend payments and discounting them back to today’s value using their required rate of return as a discount rate:

Year 1: $3.00 / (1 + 0.14)^1 = 2.59
Year 2: $3.25 / (1 + 0.14)^2 = 2.61
Year 3: $3.50 / (1 + 0.14)^3 = 2,62
Year 4: $3,75 / (1+0,14)^4=2,64
Total Present Value = 10,91