Question
PLEASE EXPLAIN THE FORMULA AND SOLVE. THANK YOU A stock is trading for 44, and just paid a dividend of 1.5 which is expected to
PLEASE EXPLAIN THE FORMULA AND SOLVE. THANK YOU
A stock is trading for 44, and just paid a dividend of 1.5 which is expected to grow at a fraction 0.04 per year.If Goldman Sacs charges a fraction 0.10 as a flotation cost, what is the required rate of return on a new stock issue?
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Financial management theory and practice
Authors: Eugene F. Brigham and Michael C. Ehrhardt
12th Edition
978-0030243998, 30243998, 324422695, 978-0324422696
