- Question 7 Which Of The Following Actions Is Most Likely To Increase Shareholder Wealth A The Weighted Average Cost Of 1 (79.48 KiB) Viewed 40 times
Question 7 Which of the following actions is MOST likely to increase shareholder wealth? A. The weighted average cost of capital is decreased by a recent financing decision B. The financial rewards of directors are linked to increasing earnings per share C. The board of directors decides to invest in a project with a positive NPV D. The annual report declares full compliance with the corporate governance code Question 8 NYC's current cum dividend share price is £3.45 and the company has just announced a dividend per share of 20p. At what rate do investors expect dividends to grow in the future if the current share price is considered to be fair and shareholders require a rate of return of 15 per cent? A. 8.33% B. 3.25% C. 4.56% D. 7.67%