Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
The stock of Payout Corp. will go ex-dividend tomorrow. The dividend will be $0.85 per share, and there are 31,000 shares of stock outstanding. The market-value
Assets | Liabilities and Equity | ||||
Cash | $220,000 | Equity | $1,240,000 | ||
Fixed assets | 1,020,000 | ||||
a. What price is Payout stock selling for today? (Round your answer to 2 decimal places.)
b. What price will it sell for tomorrow? (Round your answer to 2 decimal places.)
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