Question
Suppose a listed company, ABC Company, has just paid a dividend of R0.15 per share and that this dividend is expected to grow at an
Suppose a listed company, ABC Company, has just paid a dividend of R0.15 per share and that this dividend is expected to grow at an annual rate of 9%. ABC Companys share price is currently sitting at R1.50. Evaluate and determine ABC Companys cost of equity by applying the dividend growth model.
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Public Finance And Public Policy
Authors: Jonathan Gruber
6th Edition
1319105254, 9781319105259
