Assuming a return on stocks of 16%, what is the value of a company that pays...
Assuming a return on stocks of 16%, what is the value of a company that pays a fixed dividend of $2.78 forever? PLEASE TYPE YOUR ANSWER
Homework Answers
Price of Stock = Div / Required Ret
= $ 2.78 / 16%
= $ 17.38
Value of Company = Share Price * No. of shares
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Assuming a return on stocks of 16%, what is the value of a
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