Question
Suppose Powers Ltd. just issued a dividend of $2.63 per share on its common stock. The company paid dividends of $2.13, $2.20, $2.37, and $2.47
Suppose Powers Ltd. just issued a dividend of $2.63 per share on its common stock. The company paid dividends of $2.13, $2.20, $2.37, and $2.47 per share in the last four years. Required: If the stock currently sells for $82, what is your best estimate of the companys cost of equity capital using arithmetic and geometric growth rates?
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Money Locates You
Authors: Joan Ekobena
1st Edition
1774821257, 978-1774821251
