Question
In: Math
The common stock of Textile Mills pays an annual dividend of $1.65 a share. The company...
The common stock of Textile Mills pays an annual dividend of $1.65
a share. The company has promised to maintain a constant dividend
even though economic times are tough. How much are you willing to
pay for one share of this stock if you want to earn a 12 percent
annual return?
Solutions
Expert Solution
assume i am willing to pay x ....so
0.12x=1.65
or x=13.75
milcah answered 2 years agoRelated Solutions
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