Compute the company cost of equity

Assignment Help Operation Management
Reference no: EM13108682

The Lo Tech Co. just issued a dividend of $2.30 per share on its common stock. The company is expected to maintain a constant 7 percent growth rate in its dividends indefinitely.

If the stock sells for $43.10 a share, what is the company's cost of equity

 

Reference no: EM13108682

Questions Cloud

What are the chances kim and kris will have a child : siblings which has dwarfism.What are the chances Kim and Kris will have a child with dwarfism? Explain your answer for credit.
Null and directional hypothesis in research article : Find a research article and clearly define both the null and directional hypothesis that was or could have been tested during the statistical analysis of the data.
Calculate the probability of two bb : Calculate the probability of two Bb people having a blue-eyed child. Construct a Punnett square for this.
Determine probability that exactly two prizes are selected : A grab bag comprises 11 $1 prizes, 7 $5 prizes, and 2 $20 prizes. Three prizes are selected at random. Determine the probability which exactly two $20 prizes are chosen?
Compute the company cost of equity : The Lo Tech Co. just issued a dividend of $2.30 per share on its common stock. The company is expected to maintain a constant 7 percent growth rate in its dividends indefinitely.
Which of the following is true about dna : Which of the following is true about DNA?
Summarize the main events that occur in interphase, prophase : summarize the main events that occur in interphase, prophase, metapagse, anaphase and telophase.
What part of the bacterium allows it to recognize : a bacterium will construct different proteins to metabolize the sugars lactose or glucose, depending on which one it detects in the outside environment. What part of the bacterium allows it to recognize different substances in the outside environm..
Calculate default risk premium : The real risk-free rate, r*, is 2.5%. Inflation is expected to average 2.8% a year for the next 4 years, after which time inflation is expected to average 3.75% a year.

Reviews

Write a Review

Operation Management Questions & Answers

  How employees effectively execute the strategy

Discuss how the employees effectively execute the strategy and how the company can sustain this position over time.

  Determine critical path for the network

Hamilton County Parks is planning to develop a new park and recreational area on a recently purchased 100-acre tract. Project development activities include clearing playground and picnic areas, constructing roads.

  Illustrate what effect might employee dismissal have

Imagine that you must fire an employee. Illustrate what effect might employee's dismissal have on your or workers. Explain how you would tell employee also your remaining subordinates.

  Discuss the common sources of risk on information technology

Discuss the common sources of risk on information technology projects and suggestions for managing them. Which suggestions do you find most useful?

  Advantages & disadvantages of flexible staffing in workforce

What are some considerations that (you) could take in developing and implementing an accident prevention program for plant personnel?

  What is the optimal stocking level

The cost of baking a cake is $5 and demand is estimated to be normally distributed with a mean of 30 and a standard deviation of 6. What is the optimal stocking level?

  Distinguish between motivation and knowledge skills

Distinguish between motivation, Knowledge Skills and Abilities (KSA), and environment. Demonstrate the importance of one of these elements utilizing specific examples.

  Difference between leading and managing a project

Why is a conductor of an orchestra an appropriate metaphor for being a project manager? What aspects of project managing are not reflected by this metaphor? What is the difference between leading and managing a project?

  Case study - mega beverage corporation

Mega Beverage Corporation will launch its new twelve-hour energy drink called the Viva in a few weeks. The company suggests a retail price of $3 for a 3-ounce bottle; however, the retail buyers must agree not to sell the drink for less than $2.75.

  Effect on profits of the requirement that the number of unit

The effect on profits of the requirement that the number of units of the BodyPlus 200 produces must be at least 25% of the total production

  Illustrate what percentage of change are you hoping to see

Illustrate what percentage of change are you hoping to see as a result of se objectives being implemented.

  Compute the monthly salary payoff table

Jim has been employed at Gold Key Realty at a salary of $2,000 per month during the past year. Because Jim is considered to be a top salesman, the manager of Gold Key is offering him one of three salary plans for the next year.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd