Question
The Sharpe Co. just paid a dividend of $2.05 per share of stock. Its target payout ratio is 40 percent. The company expects to have
The Sharpe Co. just paid a dividend of $2.05 per share of stock. Its target payout ratio is 40 percent. The company expects to have earnings per share of $6.20 one year from now.
a. If the adjustment rate is .3 as de?ned in the Lintner model, what is the dividend one year from now?
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Governance Of Financial Management
Authors: John Carver, Miriam Carver
1st Edition
0470392541, 9780470392546
