What is the current price of the share

Assignment Help Financial Accounting
Reference no: EM132991159

Problem - Tre-Bien Ltd is a fast growing technology company. The company projects a rapid growth of 30 percent for the next two years. then a growth rate of 1? percent for the following two years. After that, the company expects a constant growth rate of 3 percent The company expects to pay its first diyidend of $3.22 a year from now. If your required rate of return on such shares is 21 percent, what is the current price of the share?

Reference no: EM132991159

Questions Cloud

What would be the monthly payments : Considering to buy a house, you are thinking of a mortgage with the amount of $550,000, with 9% interest rate for 15 years. What would be the monthly payments
Compute appen ltd weighted average cost of capital : Appen Ltd. has an outstanding bond issue that the company sold 5 years ago for $50 million. Compute Appen Ltd weighted average cost of capital
Provide the entry to record the retirement of the bonds : Without the conversion feature, the bonds are selling in this date at 102. Provide the entry to record the retirement of the bonds
What investment proportions in risky portfolio : The risky portfolio has expected return of 12%, standard deviation of 18%, while return on risk-free asset is 5%. What investment proportions in risky portfolio
What is the current price of the share : Tre-Bien Ltd is a fast growing technology company. If your required rate of return on such shares is 21 percent, what is the current price of the share
What is diluted earnings per share : For the year ended December 31, 2021, what is diluted earnings per share, and is it reported on the income statement
Determine the dollar value of the annual bond premium : Baltimore uses the straight-line method for amortization. Use this information to determine the dollar value of the annual bond premium amortization
How did it cause the net income to increase : By Roy changing the journal entries, how did it cause the net income to increase and the CEO to get his bonus
Prepare the necessary adjusting entries for Logan Company : 3. Outstanding checks at May 31 totaled $576.25. Deposits in transit were $1,916.15. Prepare the necessary adjusting entries for Logan Company at May

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare general and ledger and trail balance from data

Prepare general , ledger and trail balance from data. Purchased from Korean goods and list price of rs 6000 subject to 10% trade discount by cash

  Revise the december balance sheet for talisay corporation

Revise the December 31, 2011, balance sheet for Talisay Corporation as it should be presented according to generally accepted accounting principles.

  How to prepare the statement of cash flows

Prepare the statement of cash flows. Provide at least two (2) specific examples on why the method you selected would be beneficial to the company.

  Distributions to estate and trust beneficiaries in excess

Distributions to estate/trust beneficiaries in excess of DNI a. carry over to the next tax year for taxation. b. do not affect the income taxes of the estate/trust or beneficiaries. c. cannot be legally made. d. should be returned to the estate/trust..

  Are capital budgeting techniques appropriate for analysis

Are capital budgeting techniques appropriate for analysis of this problem? If so, is the issue a stand-alone or mutually exclusive decision?

  Find how do calculate the nal

Calculate the NAL. The scanner costs $8.1 million and it qualifies for a 30% CCA rate. Because of radiation contamination, it is valueless in four years.

  Explain the theory of comparative advantage

Explain the theory of Comparative Advantage, and its implication for production and trade. Are there some countries that have no comparative advantage?

  What is needed in the journal entry to record cash payment

A company has a five-year, $100,000 note payable, What is needed in the journal entry to record this $106,000 cash payment?

  What would be the optimal payout ratio

Assume that the projects' profitability does not change if you undertake more or less projects. What would be the optimal payout ratio

  Would the have any effect on gulf oil stock

Gulf Oil announced that its exploration efforts were going to start up again immediately and stronger than ever. Would this have any effect on Gulf Oil's stock

  Determine the note receivable balance that mifflinburg farm

Determine the note receivable balance that Mifflinburg Farm Supply will report on December 31, 20X2. Criswell Acres purchased from Mifflinburg Farm Supply

  Which model should gold star choose

Which model should Gold star choose assuming that whichever model Gold star chooses will last forever Ignore tax effects

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd