Business, 12.08.2019 19:10 xyxenpaiz5386

Halliford corporation expects to have earnings this coming year of $ 3.00 per share. halliford plans to retain all of its earnings for the next two years. for the subsequent two years, the firm will retain 50 % of its earnings. it will then retain 20 % of its earnings from that point onward. each year, retained earnings will be invested in new projects with an expected return of 25.00 % per year. any earnings that are not retained will be paid out as dividends. assume halliford's share count remains constant and all earnings growth comes from the investment of retained earnings. if halliford's equity cost of capital is 10.0 %, what price would you estimate for halliford stock? note: remenber that growth rate is computed as: retention rate times rate of return.

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 18:20

Which of the following accurately describes a situation in which consumers have elastic demand? a. a restaurant starts using margarine instead of butter because butter becomes more expensive. b. consumers boycott a restaurant because the waiters aren't paid minimum wage. c. a company starts using sugar instead of corn syrup because its revenues are up. d. people give up eating pasta and bread because they want to lose weight. 2b2t

Answers: 1

Answer

Business, 22.06.2019 11:30

Leticia has worked for 20 years in the public relations department of a large firm and has been the vice-president for the past ten years. it is unlikely she will ever be promoted to the top executive position in her firm even though she has directed several successful projects and is quite capable. her lack of promotion is an illustration of (a) the "glass ceiling" (b) the "glass elevator" (c) the "mommy track" (d) sexual harassment

Answers: 3

Answer

Business, 22.06.2019 23:40

Martha is one producer in the perfectly competitive jelly industry. last year, martha and all of her competitors found themselves earning economic profits. if there is free entry and exit, what do you expect to happen to the number of suppliers in the industry and the price of jelly? the number of suppliers will increase, and the price of jelly will fall. the number of suppliers will decrease, and the price of jelly will increase. the number of suppliers will increase, and the price of jelly will increase. the number of suppliers will decrease, and the price of jelly will fall.

Answers: 3

Answer

Business, 23.06.2019 02:00

In his speech on varying explanations of how the earth came into existence, eduardo begins with opinions, moves to inferences, and uses scientific facts in support of his last point. what principle of supporting material organization is eduardo utilizing in his speech?

Answers: 3

Answer

You know the right answer?

Halliford corporation expects to have earnings this coming year of $ 3.00 per share. halliford plans...

Questions