Question
help with this two part question, please! A. Company F will have earnings per share of $6 this year and expect that they will pay
help with this two part question, please!
A. "Company F will have earnings per share of $6 this year and expect that they will pay out $3 of these earnings to shareholders in the form of a dividend. Company F's return on new investments is 8% and their equity cost of capital is 7%. The value of Company F's stock is ________. Note: Express your answers in strictly numerical terms. For example, if the answer is $500, enter 500 as an answer."
B. "Company F will have earnings per share of $6 this year and expect that they will pay out $3 of these earnings to shareholders in the form of a dividend. Company F's return on new investments is 8% and their equity cost of capital is 7%. The expected growth rate for Company F's dividends is ________.
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