In the previous problem, what would the ROE on the investment have to be if we wanted
Question:
In the previous problem, what would the ROE on the investment have to be if we wanted the price after the offering to be $84 per share? (Assume the PE ratio remains constant.) What is the NPV of this investment? Does any dilution take place?
Step by Step Answer:
Given Data Input Area Stock price 84 Number of shares 30000 Total assets 8000000 Total liab...View the full answer
Fundamentals of Corporate Finance
ISBN: 978-0077861704
11th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
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