The balance sheet for Severn Trent plc is shown here in market value terms. There are 2.4
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The balance sheet for Severn Trent plc is shown here in market value terms. There are 2.4 billion shares outstanding.
The company has declared a dividend of £0.40 per share. The equity goes ex dividend tomorrow. Ignoring any tax effects, what are the shares selling for today? What will they sell for tomorrow? What will the market value balance sheet look like after the dividends are paid?
Transcribed Image Text:
Market Value Balance Sheet (m) 5,045 Equity 4,022 5,526 Liabilities 6,549 10,571 Total 10,571 Cash Non-current assets Total
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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