Question
Zelda Farms currently plows back 40% of its earnings and earns a return of 20% on this investment. The dividend yield on this stock is
Zelda Farms currently plows back 40% of its earnings and earns a return of 20% on this investment. The dividend yield on this stock is 4$. Assuming that the company can continue to plow back this proportion of earnings and earn a 20% return on investment, how rapidly will earnings and dividends grow?
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Public Finance In A Changing World
Authors: Peter Birch Sorensen
1998th Edition
0333682211, 978-0333682210
