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Footbook.com has 2.5 million shares outstanding. It expects earnings at the end of the year of $45.0 million Footbook pays 30% of earnings as dividends
Footbook.com has 2.5 million shares outstanding. It expects earnings at the end of the year of $45.0 million Footbook pays 30% of earnings as dividends and 40% of earnings are used to repurchase shares. What is Footbook's share price if earnings are expected to grow by 7% per year, these payout rates do not change and the equity cost of capital is 169? O a. 5143.70 ob $64.20 OG $133.38 O d. $60.00 Oe $140.00
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