[单选题]

An analyst determines that a company has a return on equity of 16% and pays 40% of its earnings in dividends. If the firm recently paid a $50 dividend and the stock is selling for $40, what is the required rate of return on the stock if it is priced according to the dividend discount model?

A.9.6%.

B.10.2%.

C.13.7%.

参考答案与解析:

相关试题

An analyst is reviewing a company with a large deferred tax asset on its balance sheet. She has dete

[单选题]An analyst is reviewing a company with a large deferred tax asset on its ba

  • 查看答案
  • An analyst is assessing a company's quality of earnings by looking at the cash flow earnings in

    [单选题]An analyst is assessing a company's quality of earnings by looking at the c

  • 查看答案
  • An analyst estimates a stock has a 40% probability of earning a 10% return, a 40% probability of ear

    [单选题]An analyst estimates a stock has a 40% probability of earning a 10% return,

  • 查看答案
  • A company and its bank have entered into a currency swap in which the company pays USD to the bank.

    [单选题]A company and its bank have entered into a currency swap in which the compa

  • 查看答案
  • An analyst wants to calculate an appropriate price to earnings (P/E) ratio for a company that operat

    [单选题]An analyst wants to calculate an appropriate price to earnings (P/E) ratio

  • 查看答案
  • An analyst collects the following data on the return on equity (ROE) and the payout ratio for two co

    [单选题]An analyst collects the following data on the return on equity (ROE) and th

  • 查看答案
  • An analyst gathered the following data about a company:<br />·The historical earnings retentio

    [单选题]An analyst gathered the following data about a company:·The historical earn

  • 查看答案
  • Jay Company has a debt-to-equity ratio of 2.0. Jay is evaluating the cost of equity for a project in

    [单选题]Jay Company has a debt-to-equity ratio of 2.0. Jay is evaluating the cost o

  • 查看答案
  • A company has recently revalued one of its depreciable properties and estimated that its remaining u

    [单选题]A company has recently revalued one of its depreciable properties and estim

  • 查看答案
  • An analyst feels that Brown Company's earnings and dividends will grow at 25% for two years, af

    [单选题]An analyst feels that Brown Company's earnings and dividends will grow at 2

  • 查看答案
  • An analyst determines that a company has a return on equity of 16% and pays 40% of its earnings in d