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Please help me solve this question and explain Jen owns 30 shares of stock in Delta Fashions and wants to win a seat on the
Please help me solve this question and explain
Jen owns 30 shares of stock in Delta Fashions and wants to win a seat on the board of directors. The firm has a total of 100 shares of stock outstanding. Each share receives one vote. Presently, the company is voting to elect three new directors. Which one of the following statements must be true given this information? (6 points) If straight voting applies, Jen is assured a seat on the board. If straight voting applies, Jen can control all of the open seats. If cumulative voting applies, Jen is assured one seat on the board. If cumulative voting applies, Jen can control all of the open seats. Question 8 (Mandatory) (12 points) K's Fashions is growing quickly. Dividends are expected to increase by 8 percent annually for the next three years, with the growth rate falling off to a constant 3 percent thereafter. The required return is 14 percent and the company just paid its annual dividend of $3.64 per share. What is the current share price? (12 points) $48.96 $51.11 $38.79 $55.70 Step by Step Solution
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