The Bouchard Companys EPS was $6.50 in 2021, up from $4.42 in 2016. The company pays out
Question:
The Bouchard Company’s EPS was $6.50 in 2021, up from $4.42 in 2016. The company pays out 40% of its earnings as dividends, and its common stock sells for $36.00.
a. Calculate the past growth rate in earnings.
b. The last dividend was D0 = 0.4($6.50) = $2.60. Calculate the next expected dividend, D1, assuming that the past growth rate continues.
c. What is Bouchard’s cost of retained earnings, rs?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
a To calculate the past growth rate in earnings we can use the formula for compound annual growth ra...View the full answer
Answered By
Hemstone Ouma
"Hi there! My name is Hemstone Ouma and I am a computer scientist with a strong background in hands-on experience skills such as programming, sofware development and testing to name just a few. I have a degree in computer science from Dedan Kimathi University of Technology and a Masters degree from the University of Nairobi in Business Education. I have spent the past 6 years working in the field, gaining a wide range of skills and knowledge. In my current role as a programmer, I have had the opportunity to work on a variety of projects and have developed a strong understanding of several programming languages such as python, java, C++, C# and Javascript.
In addition to my professional experience, I also have a passion for teaching and helping others to learn. I have experience as a tutor, both in a formal setting and on a one-on-one basis, and have a proven track record of helping students to succeed. I believe that with the right guidance and support, anyone can learn and excel in computer science.
I am excited to bring my skills and experience to a new opportunity and am always looking for ways to make an impact and grow as a professional. I am confident that my hands-on experience as a computer scientist and tutor make me a strong candidate for any role and I am excited to see where my career will take me next.
8+ Reviews
22+ Question Solved
Related Book For 
Fundamentals Of Financial Management
ISBN: 9780357517574
16th Edition
Authors: Eugene F. Brigham, Joel F. Houston
Question Posted:
