Question
Anle Corporation has a current price of $13, is expected to pay a dividend of $2 in one year, and its expected price right after
Anle Corporation has a current price of $13, is expected to pay a dividend of $2 in one year, and its expected price right after paying that dividend is $32.
a. What is Anle's expected dividend yield?
b. What is Anle's expected capital gain rate? c. What is Anle's equity cost of capital?
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International Financial Management
Authors: Geert Bekaert, Robert Hodrick
3rd edition
1107111820, 110711182X, 978-1107111820
