You bought 290 shares of Bears, Inc. for $6.30 per share 15 years ago. Today, it has 200mm shares authorized, 50mm shares issued and 10mm in treasury shares. The market value of the equity today is $800mm. It has never paid dividends. Assume a tax rate of 20%. What is the CAGR regarding the appreciation of your investment? Round to the nearest % and use the % symbol. Hint...3% would be the form of a correct answer)
You bought 290 shares of Bears, Inc. for $6.30 per share 15 years ago. Today, it has 200mm shares authorized, 50mm shares issued and 10mm in treasury shares. The market value of the equity today is $800mm. It has never paid dividends. Assume a tax rate of 20%. What is the CAGR regarding the appreciation of your investment? Round to the nearest % and use the % symbol. Hint...3% would be the form of a correct answer)
Chapter14: Capital Structure Management In Practice
Section: Chapter Questions
Problem 9P
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You bought 290 shares of Bears, Inc. for $6.30 per share 15 years ago. Today, it has 200mm shares authorized, 50mm shares issued and 10mm in treasury shares. The market value of the equity today is $800mm. It has never paid dividends. Assume a tax rate of 20%. What is the CAGR regarding the appreciation of your investment? Round to the nearest % and use the % symbol. Hint...3% would be the form of a correct answer)
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