Description of price of stock

Assignment Help Accounting Basics

Reference no: EM13115852

A share of common stock just paid a dividend of $3.25 per share. The expected long-run growth rate for this stock is 18%. If investors require a rate of return of 24%, what should the price of the stock be?

Reference no: EM13115852

Questions Cloud

Explain to what extent should government intervene : Explain To what extent should government intervene in the economy? Are there limits to governmental oversight of corporations? Does regulation diminish the ability of businesses to thrive and compete in the global marketplace?

Capm-required rate of return on stock : Assume that the risk-free rate is 6 percent and the expected return on the market is 13 percent. What is the required rate of return on a stock that has a beta of 1.2?

Amount for consolidated financial statements : Required: Based on the above information, compute the amounts that should appear in the consolidated financial statements prepared for Barnes Company and it subsidiary, Dean Company, at year end for the following items: 1) sales; 2) cost of goods sol..

What is the molarity : Concentrated HCl is 36.5% HCl by mass and has a density of 1.18 g/mL.What is the molality?What is the molarity?

Description of price of stock : A share of common stock just paid a dividend of $3.25 per share. The expected long-run growth rate for this stock is 18%. If investors require a rate of return of 24%, what should the price of the stock be?

Consider any experimental weaknesses in their approach : Many scientists were reluctant to accept the results of Avery, MacLeod, and McCarty's experiments showing that DNA (rather than protein) was the transforming principle. Why?

Stock price and tax advantage : The Carlton Corporation has $4 million in earnings after taxes and 1 million shares outstanding. The stock trades at a P/E ratio of 20. THE firm has $3 million in excess cash.

Calculate jaedans free cash flow : Calculate Jaedan's free cash flow and calculate Jaedan's liquidity - calculate Jaedan's debt and profitability ratios.

Compute the p-value of the test statistic : Compute the p-value of the test statistic and discuss whether there is sufficient evidence to indicate that process 1 takes a statistically significant shorter time to manufacture the drives.

User Account

All Pages