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1. ABC company just paid a dividend of $2 per share. The dividend is expected to grow 8% a year. Interest rate -16%. What is
1. ABC company just paid a dividend of $2 per share. The dividend is expected to grow 8% a year. Interest rate -16%. What is the current price of the share?
2. ABC issued 5 million ordinary shares, which are sold at $40 and have a of 1.2, a market risk premium of 6%, profitability of treasury bills of 4%.
What is the expected return on shares?
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Options Futures And Other Derivatives
Authors: John C. Hull
4th Edition
0130224448, 9780130224446
