Minimum price in light of dividend payment logistics

Assignment Help Financial Management

Reference no: EM131868685

Gen Corp. is expected to pay a dividend of $3.70 per year indefinitely. The appropriate rate of return on this stock is 10 percent per year, and the stock consistently goes ex-dividend 30 days before dividend payment date.

What will be the expected minimum price in light of the dividend payment logistics? (Use 365 days a year. Do not round intermediate calculations and round your final answer to 2 decimal places.)

Minimum Stock Price = ?

What will be the expected maximum price in light of the dividend payment logistics? (Use 365 days a year. Do not round intermediate calculations and round your final answer to 2 decimal places.)

Maximum Stock Price = ?

Reference no: EM131868685

Questions Cloud

Illustrate components of the overall marketing mix : Within the Discussion Board area, write 400-600 words that respond to the following questions with your thoughts, ideas, and comments.

Find unemployment rate and labor force participation rate : Find the unemployment rate and the labor force participation rate. Find the GDP deflator in 2017 if the base year is 2015.

Determining the net present value method : Hamilton Control Systems will invest $90,000 in a temporary project that will generate the following cash inflows for the next three years.

What is the current value per share according to the analyst : The required return is 7% (EAR). What is the current value per share according to the analyst?

Minimum price in light of dividend payment logistics : What will be the expected minimum price in light of the dividend payment logistics?

Calculate the net present value of growth opportunities : Calculate the Net Present Value of Growth Opportunities (NPVGO) as a percentage of the current market price.

How big wih the arm ual payments be : On December 31, Belh Klemkosky bought a yacht for $100,000 She paid $14,000 down and agreed to pay the balance in 15 equal annual installments.

Identify a project that you can work on : identify a project that you can work on, i.e. a defined piece of work that you can plan, investigate, develop and deliver during your time at your internship

Define specific marketing issues to which article relates : The purpose of this assignment is to keep students up-to-date with current events, encourage critical thinking and develop writing skills for communication.

User Account

All Pages