Business, 17.03.2020 05:27 mariaaalopezz

The stock in Up-Towne Movers is selling for $48.20 per share. Investors have a required return of 11.2 percent and expect the dividends to grow at 3.6 percent indefinitely. What was the dividend the company just paid

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Answer from: queensquishy2004

The dividend the company just paid is $3.53

Explanation:

The solution to the problem is given as follows.

$48.20 = D1/(.1120 − .0360)

$48.20= D1(0.076)

Making D1 the subject of formula we have.

D1 = $3.66

D0 = $3.66/(1 + .0360)

D0 = $3.53

Answer from: nayelialvarez5950

Dividend that has just been paid = $3.54

Explanation:

The price of a stock using the dividend valuation model is the present value of the the future dividend expected from the stock discounted at the required rate of return.

This model is represented as follows

D(1+g)/(r-g) = P

So we substitute the variables of Up-Towne Movers into the equation as follows

D×(1.036)/(0.112-0.036)=48.20

D×1.036/0.076 = 48.20

D×1.036= 48.20× 0.076

D = (48.20 × 0.076)/ 1.036

D = $3.535

Dividend that has just been paid = $3.54

Answer from: Quest

The answer is passage 1.

Answer from: Quest

$527.7.if the following was the question $527.7 is the answer.students who are trying to raise funds have an agreement with a local pizza chain. the chain has agreed to sell them pizzas at a discount, which the students can then resell to families in the local community for a profit. it is expected that of the 500 families in the community, at most 70% will buy pizza. based on a survey of their personal preferences, the students believe that they should order no more than 120 cheese pizzas, no more than 150 pepperoni pizzas, and no more than 100 vegetarian pizzas. they also want to make sure that at least 20% of the total pizzas are cheese and at least 50% of the pizzas are pepperoni. they make a profit of $1.45, $1.75, and $1.98, respectively, for each cheese, pepperoni, and vegetarian pizza they resell. how many pizzas of each type should they buy?

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The stock in Up-Towne Movers is selling for $48.20 per share. Investors have a required return of 11...

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