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Title: Karkas Cold Cuts Inc. has $20 of cash and analysts expect the company to generate $10 of free cash ... Post by: lii on Apr 26, 2021 Karkas Cold Cuts Inc. has $20 of cash and analysts expect the company to generate $10 of free cash flow at the end of the current year. The same amount of free cash is expected annually in perpetuity. Karkas is all equity financed and stock holders require a return of 10%. There are 200 shares outstanding. Karkas is considering a cash dividend of $0.10 per share. If it pays the dividend, then what will the stock price be after the dividend?
▸ $0.30 ▸ $0.40 ▸ $0.50 ▸ $0.60 Title: Karkas Cold Cuts Inc. has $20 of cash and analysts expect the company to generate $10 of free cash ... Post by: rtwyhw4 on Apr 26, 2021 Content hidden
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