This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Yesterday, Macallan Corp paid out $1.7308B in dividends and repurchased $4.3983B worth of shares. ... (Read 60 times)

mikaylakyoung

  • Hero Member
  • *****
  • Posts: 531
on: Apr 25, 2021
Yesterday, Macallan Corp paid out $1.7308B in dividends and repurchased $4.3983B worth of shares. Macallan has 1.12B shares outstanding and pays all of its dividends and makes its repurchases at the end of each year. Because of the slow-down in the economy, analysts expect that next year Macallan will hold dividend payments constant at yesterday's level and cancel its stock repurchase program. Two years from now, analysts forecast that total payouts will return to the level of yesterday. After that date analysts expect that total payouts will grow at an annual rate of 2% in perpetuity. Assume that investors require a 10% rate of return on Macallan's shares. Which of the following is closest to the Total Payout Model estimate of the stock price today?
◦ $58
◦ $60
◦ $62
◦ $64
◦ $66
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by mikaylakyoung on Apr 25, 2021

af

  • Sr. Member
  • ****
  • Posts: 356
Reply #1 on: Apr 25, 2021
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.
Answer Preview
Only 55% of students answer this correctly


mikaylakyoung

  • Member
  • Posts: 531
Reply 2 on: Apr 25, 2021
Great answer, keep it coming :)

nanny

  • Member
  • Posts: 313
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

Did you know?

Persons who overdose with cardiac glycosides have a better chance of overall survival if they can survive the first 24 hours after the overdose.

Did you know?

Nearly all drugs pass into human breast milk. How often a drug is taken influences the amount of drug that will pass into the milk. Medications taken 30 to 60 minutes before breastfeeding are likely to be at peak blood levels when the baby is nursing.

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Australopithecus sediba shares small brain size with other members of Australopithecus but also has Australopithecus sediba shares small brain size with other members of Australopithecus but also has
Overallocation of Labor to Farming When Farmworkers Are Paid Their Average Product Overallocation of Labor to Farming When Farmworkers Are Paid Their Average Product
Time spent on, paid work and housework, by living arrangements of Canadian Time spent on, paid work and housework, by living arrangements of Canadian
After 159 days,she paid a maturity value of $11,626, which included interest of $814. After 159 days,she paid a maturity value of $11,626, which included interest of $814.
A debt payment of $7500 is due in 24 months. If money is worth 7.2% p.a. compounded quarterly, ... A debt payment of $7500 is due in 24 months. If money is worth 7.2% p.a. compounded quarterly, ...
A debt payment of $7500 is due in 24 months. If money is worth 7.2% p.a. compounded quarterly, ... A debt payment of $7500 is due in 24 months. If money is worth 7.2% p.a. compounded quarterly, ...
Video: Glycolysis - Introduction to ATP and the burning of sugar

For a complete list of videos, visit our video library