What is finance ?can you tell me its parts. 7. Suppose an ordinary share of TaTa Plc currently trading at N250 on thestock market is expected to earn a dividend of NO.15 this year. Assumingsubsequent dividend of the company are expected to grow at an annualrate of 8%. Calculate the cost of the company's ordinary shares.A. 14.00%B. 14.50%C. 6.50%D. None of the above.

To calculate the cost of the company's ordinary shares, we use the Gordon Growth Model (Dividend…

Answered: 7. Suppose an ordinary share of TaTa…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter2: The Domestic And International Financial Marketplace

Section: Chapter Questions

Problem 6P

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Assume that American Eagle Outfitters (AEO) will pay $0.18/share dividend next year. The dividend is expected to grow at a 15.5 percent rate. At the current stock price of $13.72/share, what is the return shareholders are expecting? Group of answer choices 16.81% 15.50% 17.08 % 17.32% None of these are correct
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Kindly halp me with this question general accounting
Ch. 9. The next dividend payment by Skippy Jon Jon, Inc., will be $1.08 per share. The dividends are anticipated to maintain a growth rate of 4 percent, forever. The stock currently sells for $24 per share. What is the required return? (Do not round intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) Format as a percentage as "X.X"
6. Dividend discount model (S4.3) Company X is expected to pay an end-of-year dividend of $5 a share. After the dividend, its stock is expected to sell at $110. If the cost of equity is 8%, what is the current stock price?
A company currently reported dividend of $12. It is expected that will reinvest 50% of its earnings perpetually. The return on equity of the company is 20% and remains unchanged in the future. Suppose the cost of equity of the company is 13%, what is the fair price of the stock based on the dividend discount model? A. $200 В. S220 C. $400 D. $440
te.7
Solve it using formulas, no tables correct answers are: ii) NPV(11%)= 3.6912 NPV(12%)= -1.0684 Therefore, i= 11.8% iii) i'= 7.5% pa
6. Assume that company Otto currently pays out a dividend of £8 per share and dividends are expected to grow at a rate of 5% per year. The cost of equity for company Otto is 10%. What is the share price of company Otto? 5 6 12 6 16 8 21 0
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What is the answer a b c d ? General Accounting
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