maricelajacinto1931 maricelajacinto1931

02-01-2021
Business

contestada

What constant-growth rate in dividends is expected for a stock valued at $32.40 if next year's dividend is forecast at $2.20 and the appropriate discount rate is 13.6%

Respuesta :

topeadeniran2 topeadeniran2

03-01-2021

Answer: 6.81%

Explanation:

To calculate the growth rate, we'll use the formula:

Price = Expected Dividend / Discount - Growth rate

32.40 = 2.20 / 13.60% - Growth rate

13.6% - Growth rate = 2.20/32.40

Growth rate = 13.60% - 6.79%

Growth rate = 6.81%

Answer Link

Otras preguntas

what maked voting too expensive for most.

A group would like to estimate the percentage of town residents who would support a teen curfew. Which statement describes a method that will help the group ac

A number from 1-100 is randomly selected. What is the probability that it is a perfect square, given that is an odd number?

What affect do these words and phrases from this passage have on the story? "I scarcely need remind the reader" "Yet so vain is man, and so blinded by his van

Complete the passage about reforms in the Russian Empire. When Russia lost (A. The Decembrist Revolt, B. World War I, C. The Crimean war) , Czar Alexander II r

best and right answer please!!

Translate into an algebraic expression. Use x and y for any variables. The sum of four times a number plus four times another number.

Reduce -2+b2 by 7+b2

given f(x)=x^2 +3 find h(x) h(x)=f(5x)-f(-2)

−48t+2≤−71t+14.Please answer if you can