1)Dorpac Corporation has a dividend yield of 1.4%. Its equitycost of capital is 8.6%and its dividends are expected to grow at aconstant rate.
a. What is the expected growth rateofDorpac's dividends?
b. What is the expected growth rateofDorpac's share price?
a. What is the expected growth rateofDorpac's dividends?
a. The growth rate will be %. (Round to one decimalplace.)
b. What is the expected growth rateofDorpac's share price?
What is the expected growth rate of Dorpac's share price
A.With constant dividend growth, the shareprice is expected to grow at rate g=7.2%.
B.With constant dividend growth, the shareprice is expected to grow at rate g=8.6%.
C.With constant dividend growth, the shareprice is expected to grow at rate g=1.4%.
D.With constant dividend growth, the shareprice is expected to grow at rate g=7.8%.
1)Dorpac Corporation has a dividend yield of 1.4%. Its equity cost of capital is 8.6%and its dividends are expected to
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