Mahomes Company has a current period cash flow of $1.5 million and pays no dividends. The present value of the company's future cash flows is $28 million. The company is entirely financed with equity and has 770,000 shares outstanding. Assume the dividend ax rate is zero. . What is the share price of the company's stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Share price
Mahomes Company has a current period cash flow of $1.5 million and pays no dividends. The present value of the company's future cash flows is $28 million. The company is entirely financed with equity and has 770,000 shares outstanding. Assume the dividend ax rate is zero. . What is the share price of the company's stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Share price
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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