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What is the current price of the bonds

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Q1) Orwell building supplies last dividend was $1.75. its dividend growth rate is expected to be constant at 34.00% for 2 years, after which dividends are expected to grow at a rate of 6% forever. its required return is 12%. what is the best estimate of the current stock price?

Q2) $27.50 per shares is the current price for Foster Farm's stock. The dividend is projected to increase at a constant rate of 5.50% per year. The required rate of return on the stock rs, is 9.00%. What is the stock's expected price 3 years from today?

Q3) one year ago Lerner and Luckman Co. issued 15-year, noncallable, 9.6% annual coupon bonds at their per value of $1,000. Today, the market interest rate on these bonds is 5.5%. What is the current price of the bonds, given that they now have 14 years to maturity?

Reference no: EM132933265

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