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d. What is the investor's total investment worth before and after the stock dividend if the P/E ratio remains constant? Note: Do not round intermediate

image text in transcribedimage text in transcribedimage text in transcribed d. What is the investor's total investment worth before and after the stock dividend if the P/E ratio remains constant? Note: Do not round intermediate calculations and round your answers to the nearest whole dollar. e. Assume Mr. Heart, the president of Health Systems, wishes to benefit stockholders by keeping the cash dividend at a previous level of $1.15 in spite of the fact that the stockholders now have 20 percent more shares. Because the cash dividend is not reduced, the stock price is assumed to remain at $35. What is an investor's total investment worth after the stock dividend if he/she had 90 shares before the stock dividend? g. As a final question, what is the dividend yield on this stock under the scenario described in part e ? Note: Input your answer as a percent rounded to 2 decimal places. *The increase in capital in excess of par as a result of a stock dividend is equal to the shares created times (Market price - Par value). The company's stock is selling for $35 per share. The company had total earnings of $7,500,000 with 3,000,000 shares outstanding and earnings per share were $2.50. The firm has a P/E ratio of 14

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