IN EXCEL 6. Suppose the Price/Earnings Ratio for the S&P 500 is 22 and the...

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Finance

IN EXCEL

6. Suppose the Price/Earnings Ratio for the S&P 500 is 22 and the dividend payout ratio of the S&P 500 is 40%. The future growth rate of dividends is expected to be 3%. a. Use Goal Seek or Solver to determine the dividend payout ratio that would yield an expected Market return of 7%.

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