The stock selling price is $65, expected dividend is $20 and cost of common stoc

Question

The stock selling price is $65, expected dividend is $20 and cost of common stock is 42% then expected growth rate will be

Options:

A . 0.1123 times

B . 0.1123

C . 11.23 times

D . 11.23

Answer: Option B
Answer: (b).0.1123

Was this answer helpful ?

Next Question

More Questions on This Topic :

Question 1. In weighted average cost of capital, the rising in interest rate leads to....

Question 2. In retention growth model, the percent of net income firms usually pay out as shareholders dividends, is classified as....

Question 3. The cost of new debt or marginal debt is also classified as....

Question 4. The bond risk premium is 3% and the bond yield is 10.2% then the cost of common stock will be....

Question 5. The historical growth rates, analysis forecasts and retention growth model are the approaches to estimate....

Question 6. In weighted average cost of capital, the cost of capital which is risk adjusted and developed for each category of....

Question 7. If the retention rate is 0.68 then the payout rate will be....

Question 8. In retention growth model, the payout ratio is subtracted from one to calculate....

Question 9. The cost of common stock is 15% and the bond yield is 10.5% then the bond risk premium will be....

Chapter 1 - GLOBAL STEEL SCENARIO & INDIAN STEEL INDUSTRY Part 1 : (13-04-2024) INDUSTRY AND COMPANY AWARENESS (ICA)

Direction Sense Test Part 1 Reasoning (Hindi)

Chapter 1 - RMHP / OHP / OB & BP Part 1 : (14-02-2024) GPOE

Cube & Cuboid Part 1 Reasoning (Hindi)

Data Interpretation (DI) Basic Concept Reasoning (Hindi)

Counting Figures Part 1 Counting Of Straight Lines Reasoning (Hindi)

Sail E0 free webinar Webinars

Real Numbers Part 7 Class 10 Maths

Real Numbers Part 1 Class 10 Maths

Polynomials Part 1 Class 10 Maths

Pie Chart - Test Paper 1 Data Interpretation Reasoning & DI

Tabulation - Test Paper 2 Data Interpretation Reasoning & DI

Test Paper 1 Direction Sense Test Reasoning & DI

ICA , RDIC,GFM Free Modal Test Paper - Non - Technical Branch Old Syllabus 2022 - SAIL Junior Officer E0

GFM Combined 1 Free Revision Test SAIL JO E-0