A Company Has a Current Share Price of $14

question 38

Multiple Choice

A company has a current share price of $14.50 and is expected to pay a $0.85 dividend in one year. If the company's equity cost of capital is 12%, what price would its shares be expected to sell for immediately after it pays the dividend?

• A) $12.18
• B) $15.39
• C) $13.65
• D) $15.29

Understand the techniques and significance of delabeling in shifting family dynamics away from blame.

Analyze how prices and income affect consumer choices and demand for goods.

Identify the effects of changes in prices, income, and utility functions on consumer behavior.

Understand the concept of a budget constraint and how it shapes consumer choices.

---

Definitions:

Foursquare

A local search-and-discovery service mobile app which provides search results for its users.

Swarm

A large group of insects or other small organisms moving together, or metaphorically, a group of individuals focusing intensely on a particular activity or goal.

Location-Based Service

A social, entertainment, or information service that allows a company to reach and engage with its audience using tools and platforms that capture the geographic location of the audience.

Geographic Location

The specific physical position of a place, object, or person, often determined by coordinates such as latitude and longitude.