Question
The Huck Glove Co. paid its annual dividend of $1 yesterday. Analysts expect dividends to grow at 4% in perpetuity. Stockholders require a return of
The Huck Glove Co. paid its annual dividend of $1 yesterday. Analysts expect dividends to grow at 4% in perpetuity. Stockholders require a return of 9%. The stock is trading for $20.80. What is the dividend yield on the stock?
Select one:
a. 4%
b. 8%
c. 5%
d. 6%
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Financial Management For Decision Makers
Authors: Peter Atrill
9th Edition
1292311436, 978-1292311432
