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Author Question: A financial analyst expects Crane Service Inc to pay a dividend of 2 per share one year from today, ... (Read 87 times)

rmenurse

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on: Jul 10, 2018
A financial analyst expects Crane Service Inc to pay a dividend of 2 per share one year from
  today, a dividend of 3 per share in years two, and estimates the value of the stock at the end of
  year two to be 22.
 
  If your required return on Crane Service stock is 14 , what is the most you
  would be willing to pay for the stock today if you plan to sell the stock in two years?
  A) 20.99 B) 27.00 C) 26.75 D) 26.90

Question 2

Which of the following differentiates the cost of retained earnings from the cost of newly-issued
  common stock?
 
  A) the cost of the pre-emptive rights held by existing shareholders
  B) the greater marginal tax rate faced by the now-larger firm
  C) the larger dividends paid to the new common stockholders
  D) the flotation costs incurred when issuing new securities
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
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LP

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Reply #1 on: Jul 10, 2018
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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rmenurse

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Reply 2 on: Jul 10, 2018
Excellent

ghepp

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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