Question
Sisters Corporation expects to earn $9 per share next year. The firms ROE is 15% and its plowback ratio is 50%. The firms market capitalization
Sisters Corporation expects to earn $9 per share next year. The firms ROE is 15% and its plowback ratio is 50%. The firms market capitalization rate is 10%. Required: a. Calculate the price with the constant dividend growth model. (Do not round intermediate calculations.)b. Calculate the price with no growth.
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Finance And Economics Discussion Series Transaction Costs And Consumption
Authors: United States Federal Reserve Board, Geng Li
1st Edition
1288708548, 9781288708543
