Gnomes R Us just paid a dividend of $1.89 per share. The company has a dividend payout ratio of 65 percent. If the PE ratio is 16.8 times, what is the stock price? Multiple Choice $20.64 $31.75 $48.85 $90.72
Gnomes R Us just paid a dividend of $1.89 per share. The company has a dividend payout ratio of 65 percent. If the PE ratio is 16.8 times, what is the stock price? Multiple Choice $20.64 $31.75 $48.85 $90.72
Chapter14: Investing In Stocks And Bonds
Section: Chapter Questions
Problem 1DTM
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Question
Gnomes R Us just paid a dividend of $1.89 per share. The company has a dividend payout ratio of 65 percent. If the PE ratio is 16.8 times, what is the stock price?
Multiple Choice
-
$20.64
-
$31.75
-
$48.85
-
$90.72
-
$69.78
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