What is the implied dividend yield

Assignment Help Financial Management
Reference no: EM131611453

Suppose the 180-day S&P 500 futures price is 1,345.99, while the cash price is 1,331.21. What is the implied dividend yield on the S&P 500 if the risk-free interest rate is 3 percent? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.) Implied dividend _____ %

Reference no: EM131611453

Questions Cloud

Analyze the price of the investment to its market index : Analyze the price of the investment to its market index for the past five years. Analyze the past three years of financial data for the investment.
What are the major factors affecting sample size : What are the major factors affecting sample size for confirming accounts receivable? Discuss how the SEC has influence (if any) over the audit of Smackey Dog
Risk management plan starts with a facility audit : Also review the article "Civil Actions: A Risk Management Plan Starts with a Facility Audit" for additional information on risk management plans.
Draw a graph of yucatan ppf : In Problem, what is the marginal cost of 1 kilogram of food in Yucatan when the quantity produced is 150 kilograms per day?
What is the implied dividend yield : What is the implied dividend yield on the S&P 500 if the risk-free interest rate is 3 percent?
Discuss when first and complementary foods : discuss when first and complementary foods should be added into an infant's diet and why. You may include personal experiences
Compare and contrast the difference in the campaigns : Please provide a brief background of the company then compare and contrast the difference in the campaigns.
Who do you think should pay for the changes : Who do you think should pay for the changes and what could have been done to make sure that the project scope was correct?
What is the cost of each of the common equity components : What is the cost of each of the common equity components? At what level of capital expenditures will there be a break in the MCC schedule?

Reviews

Write a Review

Financial Management Questions & Answers

  What is the break-even exchange rate

What is the break-even exchange rate in American terms rounded to 4 decimal places?

  Calculate payback period for investment under each option

Your Company is evaluating the acquisition of a new piece of equipment that has an installed cost of $ 10,000,000. The equipment will add $2,000,000 to earnings before interest and taxes each year for the next 12 years. Calculate the payback period f..

  Nelson has raised the maximum amount of short-term funds

The Nelson Company has $1,000,000 in current assets and $500,000 in current liabilities. Its initial inventory level is $250,000, and it will raise funds as additional notes payable and use them to increase inventory. How much can Nelson's short-term..

  Portfolio expected return-variance and standard deviation

Consider the following information on a portfolio of three stocks: State of Probability of Stock A Stock B Stock C Economy State of Economy Rate of Return Rate of Return Rate of Return Boom .15 .02 .32 .60 Normal .55 .10 .12 .20 Bust .30 .16 − .11 − ..

  Working in a business to learn the ropes

You have a two children, A and B. Child A is not going to college but is working in a business to learn the ropes. Child A plans on opening a business someday. Child B is attending college. You put a certain amount of money into an account.

  Spread the cost of depreciation

The IRS is revaluating the asset life categories used for ACRS depreciation. The trucks that JK Industries use are currently classified by the IRS as having an asset life of 7 years. Because these trucks actually last for 10 years, the firm’s manager..

  Portfolio return at the beginning of the month

Portfolio Return At the beginning of the month, you owned $6,800 of Company G, $9,200 of Company S, and $3,400 of Company N. The monthly returns for Company G, Company S, and Company N were 8.45 percent, -1.62 percent, and -.11 percent. What is your ..

  What were the holding period returns of your investment

You purchased 34 shares of common stocks from ABC Corp on Jan 1st, 2000 for $27.45 per share. You sold all the shares on Dec 31st, 2004 for $29.17 per share. ABC Corp distributed annual dividends of $0.05, $0.11, $0.13 per share on Dec 28th, 2000, De..

  Estimates produced by the two production lines

The Dutch Girl paint factory uses process costing in their plant to calculate monthly profit and loss for the two production lines producing house paint. Manager bonuses are based upon performance against goals set by the division's top management. W..

  Find the total assets and total liabilities

Find the Total Assets, Total Liabilities, Net Assets, Unrestricted Net Assets,

  How many years until the bonds mature

Regatta, Inc., has bonds outstanding that pay an 8.250 percent coupon rate on a $1,000 face value. Investors buying the bond today can expect to earn a yield to maturity of 6.875 percent. How many years until the bonds mature if the current value of ..

  Calculate weighted average cost of capital

The bonds currently trades for 96.667% of par and have 10 years to maturity. Calculate the weighted average cost of capital.

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