You are considering purchasing stock in Canyon Echo. You feel the company will increase its dividend at 4.7 percent indefinitely. The company just paid a dividend of $3.38 and you feel that the required return on the stock is 10.9 percent. What is the price per share of the company's stock?
a.$54.22
b.$57.08
c.$51.37
d.$31.01
e.$54.52
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “You are considering purchasing stock in Canyon Echo. You feel the company will increase its dividend at 4.7 percent indefinitely. The ...” 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.
Search for Other Answers
You Might be Interested in
The City of Sycamore has investments in bonds. These bonds have an amortized cost of $1,997,000. At year end, the financial press reports a market value of $2,002,600 for these bonds. The original cost of the bonds was $1,993,000.
Answers (1)
What are assets and lost the types of assets
Answers (2)
When you know a firearm's effective killing range, you can determine: which animals you can hunt which stance to use when shooting whether you are aiming at the target when a shot will give a clean kill?
Answers (1)
During the year, bad debts expense was charged at a rate of 0.5% of credit sales. At year end, an aging analysis of the accounts receivable indicates that the appropriate allowance for doubtful accounts balance is 3% of the outstanding accounts
Answers (1)
Which of these is a sign of a weak economy? A. an increase in spending powER B. An high unemploying rate C. An increasing GDP
Answers (2)
New Questions in Business
If the exchange rate is 1.25 New Zealand dollars per U. S dollar, the price of apples is $2 a pound in the U. S. and 1 New Zealand dollar per pound in New Zealand, what is the real exchange rate? A. 22.5 B. 1.25 C. 2 D. 0.75
Answers (1)
The attitude adopted by Calvin Coolidge that government should play a small role in business affairs is known as what?
Answers (1)
Why is it important to take special steps to format an electronic résumé properly? a. It demonstrates superior knowledge over other candidates b. It shows time went into applying for the position c. It ensures the document is clear and readable d.
Answers (1)
For much of the 1990s, the U. S. economy was experiencing long-run economic growth, low unemployment, and a stable inflation rate. Which of the following would give rise to these outcomes? Choose one: A.
Answers (1)
The Victoria Fund, a child welfare fund, received $50,000 in cash in 2018. The donor requires the gift be held in perpetuity and that the income from investing this money may be used for its program of promoting adoption of young girls.
Answers (1)