A stock sells for $60. The next dividend will be $3 per share. If the rate of return earned on reinvested funds is 10% and the company has a payout ratio of 40% of earnings in the firm, what must be the discount rate (r) ?
+4
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “A stock sells for $60. The next dividend will be $3 per share. If the rate of return earned on reinvested funds is 10% and the company has ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Home » Business » A stock sells for $60. The next dividend will be $3 per share. If the rate of return earned on reinvested funds is 10% and the company has a payout ratio of 40% of earnings in the firm, what must be the discount rate (r) ?