Target Payout Ratio Adjustment Model

What is the formula? I learned from Kaplan, Last div + ( expected INCREASE in EPS *target payout*adjustment factor)

IFT Mock Exam 1 afternoon question 14 uses a different formula that yields different numbers, which one is correct?

What does the curriculum say?

The first. I don’t understand why exam prep would charge you money and give you a false formula

The formula is old and hasnt been updated. Third party providres can charge you what you’re willing to pay!

Then that’s the correct formula.

Seriously? You don’t understand why people charge money without doing any extra work?

You’re from which planet, again?

From the curriculum: Expected dividend = Previous dividend + (Expected earnings × Target payout ratio – Previous dividend) × Adjustment factor

Good post, was just getting ready to create a thread asking the same.