Question
McDonnell Manufacturing is expected to pay a dividend of $1.20 per share at the end of the year (D 1 = $1.20). The stock sells
McDonnell Manufacturing is expected to pay a dividend of $1.20 per share at the end of the year (D1 = $1.20). The stock sells for $33.00 per share, and its required rate of return is 14.5%. The dividend is expected to grow at some constant rate, g, forever. What is the equilibrium expected growth rate?
| A. | 14.50% | |
| B. | 10.36% | |
| C. | 11.22% | |
| D. | 10.86% |
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Revealing The Invisible How Our Hidden Behaviors Are Becoming The Most Valuable Commodity Of The 21st Century
Authors: Thomas Koulopoulos ,George Achillias
1st Edition
1682616193, 978-1682616192
