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8e) TECO's stock price was $22.26 at the beginning of 1992. Using the growth rates given in the introduction to this question, what is the
8e) TECO's stock price was $22.26 at the beginning of 1992. Using the growth rates given in the introduction to this question, what is the stock's expected return? PO = D1/(r-g) 22.26 = 1.80/(r-.06) (r-.06) = 1.80/22.26 r-.06 = .0809 r= .1409 or 14.09%
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Financial and Management Accounting
Authors: Pauline Weetman
7th edition
1292086599, 978-1292086590
