Question
The next dividend payment by Wyatt, Inc., will be $3.10 per share. The dividends are anticipated to maintain a growth rate of 6.25 percent, forever.
The next dividend payment by Wyatt, Inc., will be $3.10 per share. The dividends are anticipated to maintain a growth rate of 6.25 percent, forever. Assume the stock currently sells for $49.80 per share.
Requirement 1: What is the dividend yield?
Requirement 2: What is the expected capital gains yield?
How would you set this up and calculate it all?
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Public Finance
Authors: Harvey S Rosen
7th Edition
0072876484, 978-0072876482
