Question
In doing a five-year analysis of future dividends, the Dawson Corporation is considering the following two plans. The values represent dividends per share. Use Appendix
In doing a five-year analysis of future dividends, the Dawson Corporation is considering the following two plans. The values represent dividends per share. Use Appendix B for an approximate answer but calculate your final answer using the formula and financial calculator methods.
| Year | Plan A | Plan B | ||||||
| 1 | $ | 1.20 | $ | 0.20 | ||||
| 2 | 1.20 | 1.40 | ||||||
| 3 | 1.20 | 0.20 | ||||||
| 4 | 1.60 | 4.20 | ||||||
| 5 | 1.60 | 1.70 | ||||||
a. How much in total dividends per share will be paid under each plan over five years? (Do not round intermediate calculations and round your answers to 2 decimal places.)
Plan a ?
Pan b ?
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Money Banking And Financial Markets
Authors: Stephen G. Cecchetti
2nd International Edition
0071287728, 9780071287722
