Lecture 5

Lecture 5 - 6.4931254 1.6232813443 4.3287502515 0.1 9...

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Payout ratio p 0.6 ROE 25% cost of capital r 15% year BVPS EPS Dividend Investment Annual Cash Flow from Investment at t NPV at t of Investment at t (NPVt) Growth Rate of NPVt PVGO 0 33.32 44.42667 1 36.652 8.33 4.998 3.332 0.833 2.2213333333 2 40.3172 9.163 5.4978 3.6652 0.9163 2.4434666667 0.1 3 44.34892 10.0793 6.04758 4.03172 1.00793 2.6878133333 0.1 4 48.78381 11.08723 6.652338 4.434892 1.108723 2.9565946667 0.1 5 53.66219 12.19595 7.317572 4.8783812 1.2195953 3.2522541333 0.1 6 59.02841 13.41555 8.049329 5.3662193 1.34155483 3.5774795467 0.1 7 64.93125 14.7571 8.854262 5.9028413 1.475710313 3.9352275013 0.1 8 71.42438 16.23281 9.739688
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Unformatted text preview: 6.4931254 1.6232813443 4.3287502515 0.1 9 78.56682 17.85609 10.71366 7.1424379 1.7856094787 4.7616252766 0.1 10 86.4235 19.6417 11.78502 7.8566817 1.9641704266 5.2377878043 0.1 11 95.06585 21.60587 12.96352 8.6423499 2.1605874693 5.7615665847 0.1 12 104.5724 23.76646 14.25988 9.5065849 2.3766462162 6.3377232432 0.1 13 115.0297 26.14311 15.68587 10.457243 2.6143108378 6.9714955675 0.1 14 126.5326 28.75742 17.25445 11.502968 2.8757419216 7.6686451242 0.1 15 139.1859 31.63316 18.9799 12.653264 3.1633161137 8.4355096367 0.1...
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