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The Bouchard Company's EPS was $6.50 in 2019 , up from $4.42 in 2014 . The company pays out 30% of its earnings as dividends,
The Bouchard Company's EPS was $6.50 in 2019 , up from $4.42 in 2014 . The company pays out 30% of its earnings as dividends, and its common stock sells for $34.00. a. Calculate the past growth rate in earnings. (Hint: This is a 5-year growth period.) Round your answer to two decimal places. % b. The last dividend was D0=0.30($6.50)=$1.95. Calculate the next expected dividend, D1, assuming that the past growth rate continues. Do not round intermediate calculations. Round your answer to the nearest cent. $ c. What is Bouchard's cost of retained earnings, rs? Do not round intermediate calculations. Round your answer to two decimal places. %
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