Healthy foods just paid its annual dividend of $1.62 a share. the firm recently announced that all future dividends will be increased by 2.1 percent annually. what is one share of this stock worth to you if you require a rate of return of 15.7 percent?

Question

Rockette

Business

6 September, 23:10

Healthy foods just paid its annual dividend of $1.62 a share. the firm recently announced that all future dividends will be increased by 2.1 percent annually. what is one share of this stock worth to you if you require a rate of return of 15.7 percent?

+1

Answers (1)

Know the Answer?

Deandre Travis · Answer 1

((Current value - original value) / original value) x 100 = rate of return

((1.65402 - 1.62) / 0.157) x 100 = Original Value

Original Value = $ 21.66