Estes Park, Inc., has declared a dividend of $6.70 per share. Suppose capital gains are not taxed, but dividends are taxed at 30 percent. New IRS regulations require that taxes be withheld at the time the dividend is paid. The company's stock sells for $118 per share, and the stock is about to go ex-dividend. What do you think the ex-dividend price will be

$113.31

Explanation:

Estees park has declared a dividend of $6.70 per share

The dividend is taxed at 30%

= 30/100

= 0.3

The company stock sells for $118 per share

The first step is to calculate the after tax dividend

After tax dividend= 6.70(1-0.3)

= 6.70×0.7

= $4.69

Therefore, the ex-dividend price can be calculated as follows

Ex-dividend price= $118-$4.69

= $113.31

Hence the ex-dividend price is $113.31

sorry just tryinna get some pints skksksksk

explanation:

kool beans