Find the dividend yield and capital gains yield for stock

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Find the dividend yield and capital gains yield for the stock in number 4. (.113 and .06) What if Timco’s dividends grow at 6% for one year, than at 10% forever after that? (72.60) Stevie Ray can generate 3 in Eps per year forever. The fair return is 14%. They can retain 30% of earnings and invest in a project that will earn 12%. Find the value of assets in place. Find the value of the growth opportunity. Should Stevie Ray buy it? (21.43, -1.24, No) The spot price is 100. The exercise price on a one year call is 95. The standard deviation of the spot is 20%. The risk free rate is 4%. Find the intrinsic value, time value and premium for this call. (5, 7.76, 12.76) The spot price is 100. The exercise price on a one year call is 102. The risk free rate is 4%. Find the price of the call if there is equal probability that stock price will grow to 110 or fall to 95. (4.615) The current price of a 5% coupon, 20 year treasury bond is 983.33. These bonds are earning 5.14%. The risk free rate is 2%. Find the futures price for a one year Tbond futures. (952.45)

Reference no: EM131967607

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