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Intro Samsung just paid an annual dividend of $2.3. The company has a required return of 10%. Part 1 B Attempt 2/10 for 9 pts
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Answer #1

Hello Sir/ Mam

Part 1 :

D Po = K -9 2.3* (1+0) 0.1-0 Po 0.1 Po = $23

Part 2 :

D Po = K -9 Po= 2.3* (1 + 0.05) 0.1-0.05 2.415 Po = 0.05 Po = $48.3

I hope this solves your doubt.

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