Question
A firm has projected earnings of R10 per share. The firm payout ratio is 50% and dividends are expected to grow at the constant rate
A firm has projected earnings of R10 per share. The firm payout ratio is 50% and dividends are expected to grow at the constant rate of 10%. If the firms market capitalization rate is 15% and ROE is 20%, what is the present value of growth opportunities?
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The Handbook For Investment Committee Members
Authors: Russell L. Olson
1st Edition
0471719781, 978-0471719786
