Given the following information, calculate the current price per share (P0) for Olson Corporation. The data all pertain to the year that just ended. Round the answer to two decimal places. Net income $27,475
Beta 1.5
RRF 5%
RM 9%
Dividend payout ratio 40%
Growth rate in earnings and dividends 7%
Common stock shares outstanding 10,000 shares
A) $39.20
B) $57.84
C) $29.40
D) $61.90
E) 19.59
Correct Answer:
Verified
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