How much are you willing to pay for one share of equity if the company just paid an €.80 annual dividend, the dividends increase by 4% annually and you require an 8% rate of return?
A)€19.23
B)€20.00
C)€20.40
D)€20.80
E)€21.63

Question

Quizplus · Accepted Answer

The Answer of How much are you willing to pay for one share of equity if the company just paid an €.80 annual dividend, the dividends increase by 4% annually and you require an 8% rate of return?
A)€19.23
B)€20.00
C)€20.40
D)€20.80
E)€21.63

How Much Are You Willing to Pay for One Share