What is the share price assuming constant dividends growth
ABC Corp book value of equity = $5 million; net income =1.5 million: dividend payout ratio of 40%; number of shares outstanding = 2 million. What is the share price assuming constant dividends growth, and r= 20%?
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abc corp book value of equity 5 million net income 15 million dividend payout ratio of 40 number of shares outstanding
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