Columbus Business Daily

Questions on financial management?

i got 3 questions out of 15 questions from my assignment and i have no clue how to do them. if u know, please help and provide steps too. Many thanks. Mary compant predicts that its earnings in the coming year will be $40 million. Mary Company adopts the residue dividend policy. It has issud common stocks of ten million shares, and always maintains a debt-equity ratio of 1.5. Suppose Mary company plans no capital outlays for the comping year. i, what will the dividend per share be? ii, what will the amount of new borrowing be? iii, if the company pays dividend accordingly and right before ex-dividend date its stock price is $100, what will the stock price be on the ex-dividend date? if i know how to answer then i won't be answering! duh!

Public Comments

1. Good Try do your own homework.