Question
Suppose you know that a companys stock currently sells for $64 per share and the required return on the stock is 14 percent. You also
| Suppose you know that a companys stock currently sells for $64 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 gains yield and a dividend yield. It is the companys policy to always maintain a constant growth rate in its dividends. |
| What is the current dividend per share? |
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Principles Of Corporate Finance
Authors: Lawrence J. Gitman, Sean M. Hennessey
2nd Canadian Edition
0321452933, 978-0321452931
