Business
Business, 28.07.2020 20:01, michaelhal414

Suppose that a stock paid a divident of $2 this year and that your required reutrn on equity investments is 10%. Using the gordon growth model if you expect the dividends to grow at 3%, you will be willing to pay for the stock the amount. 2. Using the Gordon growth model of stock price determination, if a share of stock will pay a $1 dividend next year, dividends are expected to grow 2, and people require an 10% return on equity investments, then the price of the stock is.
3. According to the Gordon growth model of stock price determination, at what price should a stock sell for if the required return on equity investments is 12%, the stock will pay a dividend of $1.80 next year, and dividends are expected to grow at a constant rate of 3%.
A. $20.
B. $12.
C. $15.
D. $18.

answer
Answers: 1

Other questions on the subject: Business

image
Business, 22.06.2019 04:30, stressedmolly8387
Georgia's gross pay was 35,600 this year she is to pay a federal income tax of 16% how much should georgia pay in federal income ax this year
Answers: 1
image
Business, 22.06.2019 11:00, xxaurorabluexx
If the guide wprds on the page are "crochet " and "crossbones", which words would not be on the page. criticize, crocodile, croquet, crouch, crocus.
Answers: 1
image
Business, 22.06.2019 15:00, WowOK417
Which of the following characteristics are emphasized in the accounting for state and local government entities? i. revenues should be matched with expenditures to measure success or failure of the government entity. ii. there is an emphasis on expendability of resources to accomplish objectives. a. i only b. ii only c. i and ii d. neither i nor ii
Answers: 2
image
Business, 22.06.2019 21:30, isabellesmith51317
Zara, a global retail and apparel manufacturer based in spain that has successfully implemented this idea by having a continuous flow of new products that are typically limited in supply. zara has created a system that draws its clientèle into its stores, on average, 17 times per year as compared to 4 times per year for most stores. how is zara using it to gain competitive advantage? what specific technologies are used by zara to maintain this advantage over its competition?
Answers: 3
Do you know the correct answer?
Suppose that a stock paid a divident of $2 this year and that your required reutrn on equity investm...

Questions in other subjects: