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踩踩 0作者：付小安 发表日期：2008-04-28 复制链接 收藏
a. P0 = $10, E1 = $2, b = .4, ROE = .2
k = D1/P0 + g
D1 = .6 x $2 = $1.20
g = b x ROE = .4 x .2 = .08
Therefore, k = $1.20/$10 + .08 = .12 + .08 = .2 or 20%
b. If all earnings were paid as dividends its price would be:
P0 = $2/.2 = $10
Thus, its price is the same whether it reinvests or not. This is because k = ROE.
c. Since k = ROE, the stock price would be unaffected by cutting the dividend and investing the additional earnings.
d. Again, this should have no impact on the stock’s price since the NPV of the investments would be zero (the IRR of those projects (20%) is equal to the investors’ required rate of return, hence the firm’s cost of capital).
The stock price falls by $10, but shareholder wealth remains the same in a frictionless world because shareholders receive $10 in cash on each share they own. In the real world, shareholder’s wealth may decline because personal taxes may have to be paid on the cash dividend.
The stock price is unchanged and so is shareholder wealth. Some of the shareholders who sold their shares may have to pay taxes on their capital gains in the real world.
The number of shares outstanding rises to 1,100,000, and the stock price falls to $90.909 (=$100MM/$1.1MM) per share. Shareholder wealth is unchanged: instead of having one share at $100, now the shareholder will have 1.1 shares at $90.909/share (1.1 x 90.909 = 100)
The number of shares outstanding rises to 2,000,000, and the stock price falls to $50 per share. Theoretically, shareholder wealth is unchanged.
The composition of the firm’s assets changes. Cash falls by $10 million and other assets go up by the same amount. There is no change in either the stock price or in shareholder wealth.
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