Samuel, Inc., has declared a $5.30 per-share dividend. Suppose capital gains are not taxed, but dividends are taxed at 20 percent. New IRS regulations require that taxes be withheld when the dividend is paid. The company's stock sells for $93.95 per share and is about to go ex-dividend. What do you think the ex-dividend price will be? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Ex-dividend price

Samuel, Inc., has declared a $5.30 per-share dividend. Suppose capital gains are not taxed, but dividends are taxed at 20 percent. New IRS regulations require that taxes be withheld when the dividend is paid. The company's stock sells for $93.95 per share and is about to go ex-dividend. What do you think the ex-dividend price will be? (Do not round Intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Ex-dividend price

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter15: Dividend Policy

Section: Chapter Questions

Problem 5P

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