Question
Dorpac Corporation has a dividend yield of 1.5 % Dorpac's equity cost of capital is 8.0%, and its dividends are expected to grow at a
Dorpac Corporation has a dividend yield of 1.5 % Dorpac's equity cost of capital is 8.0%, and its dividends are expected to grow at a constant rate.
a. What is the expected growth rate of Dorpac's dividends?
b. What is the expected growth rate of Dorpac's share price?
a. What is the expected growth rate of Dorpac's dividends?
Dorpac's expected dividend growth rate is %.
(Round to one decimal place.)
b. What is the expected growth rate of Dorpac's share price?
Dorpac's expected share price growth rate is %.
(Round to one decimal place.)
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The New CFO Financial Leadership Manual
Authors: Steven M. Bragg
3rd Edition
0470882565, 978-0470882566
