In early fiscal year 2009, analysts were forecasting $3.90 for Nike's earnings per share for the fiscal

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In early fiscal year 2009, analysts were forecasting $3.90 for Nike's earnings per share for the fiscal year ending May 2009 and $4.45 for 2010, with a dividend per share of 92 cents expected for 2009. Compare the cum-dividend earnings growth rate forecasted for 2010 with ex-dividend earnings growth rate, using a required rate of return of 10 percent.

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...
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