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Earnings per common share of ABC Industries for the current year are expected to be $2.6 and to grow 11% per year over the next
Earnings per common share of ABC Industries for the current year are expected to be $2.6 and to grow 11% per year over the next 4 years. At the end of the 5 years, earnings growth rate is expected to fall to 7% and continue at that rate for the foreseeable future.
ABC's dividend payout ratio is 45%. If the expected return on ABC's common shares is 15%, calculate the current share price. (Do not round intermediate calculations. Round your answer to the nearest cent.)
Earnings per common share of ABC Industries for the current year are expected to be $2.6 and to grow 11% per year over the next 4 years. At the end of the 5 years, earnings growth rate is expected to fall to 7% and continue at that rate for the foreseeable future.
ABC's dividend payout ratio is 45%. If the expected return on ABC's common shares is 15%, calculate the current share price. (Do not round intermediate calculations. Round your answer to the nearest cent.)
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