What do you think the ex-dividend price will be

Assignment Help Financial Management

Reference no: EM131969203

Lee Ann, Inc., has declared a $7.00 per-share dividend. Suppose capital gains are not taxed, but dividends are taxed at 10 percent. New IRS regulation required that taxes be withheld when the dividend is paid.

Lee Ann sells for $94.80 per share, and the stock is about to go ex-dividend. What do you think the ex-dividend price will be?

(Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g. 32.16))

Reference no: EM131969203

Questions Cloud

Record the journal entries for the sale of non-cash assets : Record the journal entries for the sale of non-cash assets, allocation of gain or loss on liquidation and the payment of the outstanding liabilities.

How much are you willing to pay today to purchase one share : If you require a rate of return of 9%, how much are you willing to pay today to purchase one share of Leront's stock?

Directing and managing project execution : Why are deliverables such an important output of project execution? What are some of the typical problems that project teams face during project execution?

Why is communications management so important : What is the difference between formal and informal communications? Why are nonverbal communications so important?

What do you think the ex-dividend price will be : Lee Ann sells for $94.80 per share, and the stock is about to go ex-dividend. What do you think the ex-dividend price will be?

Why is it important to plan for stakeholder engagement : Why is some of the information sensitive when planning how to work with stakeholders? Give examples of how you can plan in advance how to work with difficult

Performing reserve analysis during risk management process : Management does not completely understand the concept and asks you what the purpose is of performing reserve analysis during the risk management process.

What is the difference between an rfp and an rfq : What is the difference between an RFP and an RFQ? Give an example of the appropriate use of each.

Purpose of a project quality management plan : What are two metrics besides those provided in this chapter that Kristin and her team could use on the Just-In-Time Training project?

User Account

All Pages