What is the intrinsic value for schnusenberg stock

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Reference no: EM132702035

Problem 1: Dominant Conglomerate's preferred stock pays a dividend of $1.75 per quarter. If the price of the stock is $75.00, what is its nominal (not effective) annual expected rate of return?

Problem 2: Schnusenberg Corporation just paid a dividend of $1.95 per share, and that dividend is expected to grow at a constant rate of 7.00% per year in the future. The company's beta is 3.00, the required return on the market is 10.50%, and the risk-free rate is 3.00%. What is the intrinsic value for Schnusenberg's stock?

Reference no: EM132702035

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