An ordinary share of a conpany which engages no external financing is selling for rs.50. The EPS is rs.7.50 of which 60%is paid in dividends the growth rate un dividends is expected to be 4%.the corporate tax rate can be assumed to be 30%. The post cost tax of the fund is?

An ordinary share of a conpany which engages no external financing is selling for rs.50. The EPS is rs.7.50 of which 60%is paid in dividends the growth rate un dividends is expected to be 4%.the corporate tax rate can be assumed to be 30%. The post cost tax of the fund is?

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter14: Long-term Liabilities: Bonds And Notes

Section: Chapter Questions

Problem 1PEB: Brower Co. is considering the following alternative financing plans: Income tax is estimated at 40%...

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