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Priscilla owns 500 shares of Delta stock. It is January 1, 2006, the company recently issued a statement that it will pay a $1.00 per share dividend...

Priscilla owns 500 shares of Delta stock. It is January 1, 2006, the company recently issued a statement that it will pay a $1.00 per share dividend on December 31, 2006 and a $.50 per share dividend on December 31, 2007. Priscilla does not want any dividend this year but does want as much dividend income as possible next year. Her required return on this stock is 12%. Ignoring taxes, what will Priscilla’s homemade dividend per share be in 2007?

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