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a.nicole a.nicole
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3 years ago
Gout Shoes Inc pays dividends annually and has an active share repurchase program. Gout makes all of its payouts at the end of each year and its year-end was yesterday. Today, Gout's share price is $34.33 and there are 100 million shares outstanding. Shareholders require a return of 9% and analysts expect Gout's payouts to grow in perpetuity at an annual rate of 3%. What are next year's total payouts?

▸ $202 million

▸ $203 million

▸ $204 million

▸ $205 million

▸ $206 million
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 2nd
Authors:
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drea422drea422
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3 years ago
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