Question
Ram co just paid its annual dividend of $.80 a share. The ROE is 10 percent and retention Ratio of 65 percent. The dividend will
Ram co just paid its annual dividend of $.80 a share. The ROE is 10 percent and retention Ratio of 65 percent. The dividend will grow at a constant rate for ever. What is one share of this stock worth to you if you require a 12 percent required rate of return?
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International Financial Management
Authors: Cheol S. Eun, Bruce G.Resnick
6th Edition
71316973, 978-0071316972, 78034655, 978-0078034657
