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n dollars and cents, what is the maximum you would pay per share for a company that generated profits of $12.774 per share, has 765million
n dollars and cents, what is the maximum you would pay per share for a company that
- generated profits of $12.774 per share,
- has 765million shares on issue,
- had just paid a dividend of $9.695 per share,
- which according to its accounts has equity capital of $134.5bn,
- has a standard deviation of 44.63%,
- where the standard deviation of the market is 18.94%,
- where the return of the market is 14.65%,
- where the stocks correlation with the market is 0.84, and
- the risk-free rate of return is 5.25%? (2 marks)
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