Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Q. What are assumptions of Walters dividend model?
1. Constant Return and Cost of Capital: - The Walter' model presume that the firm's rate of return and its cost of capital are constant.
2. Internal Financing: - All financing is complete through the retained earnings that is external sources of funds like debt or new equity capital aren't used.
3. 100% Payout or Retention: - Every earnings are either distributed as dividends or reinvested internally immediately.
4. Constant Earnings per share as well as Constant Dividends per share:-
There is no change in key namely, variables, beginning earnings per share and dividend per share.
5. Infinite Time: - The firm has a extremely long life.
Walter's Formula for formative the value of a share:-
D + r / Ke (E-D)
Where P = Market price per share
D = Dividend per share
E = Earnings per share
r = Internal Rate of Return
K = Cost of Equity Capital or Capitalisation Rate e
One of the most important objectives of statistical analysis is to get one single value that describes the characteristic of the entire mass of unwieldy
Imagine you have been allocated $100,000 which is to be invested in 8 companies listed on the Australian Stock Exchange (ASX). You are required to have a balanced portfolio betwee
Explain how a country can run an overall balance of payments deficit or surplus. Answer: A country can run a whole BOP (balance of payments) deficit or surplus by engaging in th
Given that risk-averse investors demand more return for taking on much more risk while they invest, how much more return is suitable for, say, a share of common stock, than is suit
Why do we need to learn finance The questions that you may thinking about right now are "Why do we need to learnfinance? Shall we not leave it to people who are going to speci
Clean Opinion - AUDIT opinion not qualified for any material scope restrictions nor departures from GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP). Also called UNQUALIFIED OPINION
Q. What do you signify by Cost of Capital? What do you signify by 'Cost of Capital'? What is its meaning and what are the problems in determination of cost of capital? Ans.
Explain the organization and function of commodities exchange
At 31 July 2010 this instrument meets the definition of a derivative: Small or no initial investment. Its value is dependent on an underlying economic item; exchange ra
Balance Sheets Peony Ltd. Aster Ltd. Assets: Cash $ 62,500 $
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!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd