Question
Compute Ke and Kn under the following circumstances: a. D1 = $3.60, P0 = $64, g = 3%, F = $4.00. (Do not round intermediate
Compute Ke and Kn under the following circumstances:
a. D1 = $3.60, P0 = $64, g = 3%, F = $4.00. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Ke: %
Kn: %
b. D1 = $.15, P0 = $26, g = 4%, F = $2.50. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Ke: %
Kn: %
c. E1 (earnings at the end of period one) = $4, payout ratio equals 25 percent, P0 = $28, g = 3.0%, F = $2.50. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Ke: %
Kn: %
d. D0 (dividend at the beginning of the first period) = $3, growth rate for dividends and earnings (g) = 4%, P0 = $54, F = $4. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
Ke: %
Kn: %
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