If I use the Myron Gordon's dividend growth formula (Expected Rate of Return) whichof the following firms

Question:

If I use the Myron Gordon's dividend growth formula (Expected Rate of Return) whichof the following firms stock offers a better growth rate ofreturn?

 

QRST MNOP       

Stock Price 46 64               

Dividend 2.30 4.80           

Expected Return 10% 12%           

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Foundations of Financial Management

ISBN: 978-1259024979

10th Canadian edition

Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta

Question Posted: