Earnings for next year are estimated at 70000 what is the


Adam Enterprises follows a residual dividend policy and maintains a constant debt-equity ratio. There are 15,000 shares of stock outstanding at a market price of $10 a share. There are 300 bonds outstanding, which are selling at par value of $1,000. The projected spending on capital projects is $180,000 for next year. Earnings for next year are estimated at $70,000. What is the projected dividend amount per share

 

Solution Preview :

Prepared by a verified Expert
Finance Basics: Earnings for next year are estimated at 70000 what is the
Reference No:- TGS02703795

Now Priced at $10 (50% Discount)

Recommended (93%)

Rated (4.5/5)