Royal hills corporation pays 30% of its earnings to stockholders and retains 70% to finance growth. the firm recently paid a $1.90 common stock dividend. investors require a return of 11% on royal hills common stock. if the firm earns a return on equity of 10%, what should be the value of royal hills common stock?
a) $47.50
b) $24.46
c) $67.77
d) $50.83
e) $63.33

You are a team of marketing consultants. it is 2008 and the great recession has struck. one of your clients is whole foods market (sometimes known as whole paycheck). wfm has come to you and asked for strategic advice on how to adapt their product and pricing strategies in light of the economic downturn: 1. advise wfm on the various approaches that could be taken to reducing price. be sure to consider potential psychological impact of price reductions on wfm consumers. 2. based on the options outlined in part 1, recommend an approach and support with marketing theory.