Question
PLEASE SHOW YOUR WORK AND FORMULA. THANK YOU! Suppose you know that a companys stock currently sells for $60 per share and the required return
PLEASE SHOW YOUR WORK AND FORMULA. THANK YOU!
Suppose you know that a companys stock currently sells for $60 per share and the required return on the stock is 14 percent. You also know that the total return on the stock is evenly divided between a capital gain yield and a dividend yield. If its the companys policy to always maintain a constant growth rate in its dividends, what is the current dividend per share?
PLEASE SHOW YOUR WORK AND FORMULA. THANK YOU!
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
12th Edition
1439044473, 978-1439044476
