Question
3.1 A firm projects an ROE of 18%; it will maintain a payout ratio of 40%. The firm is expecting earnings of R3 per share
3.1 A firm projects an ROE of 18%; it will maintain a payout ratio of 40%. The firm is expecting earnings of R3 per share and investors expect a return of 15% on the investment. ratio of the firm. 3.2 Discuss if gearing affect share price and weighted average cost of capital. (10)
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Financial Risk Manager Handbook
Authors: Philippe Jorion, Global Association Of Risk Professionals
5th Edition
0470479612, 978-0470479612
