Solved

A Firm Expects to Pay Dividends of 50p Per Year

Question 49

Multiple Choice

A firm expects to pay dividends of 50p per year to infinity. The rate of return on a share in this risk class is 15 per cent. What is the value of the share to the investor?


A) 666p
B) 333p
C) 200p
D) 400p

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions