What is the market rate of return on this stock

Assignment Help Financial Management
Reference no: EM131460987

The common stock of Auto Deliveries sells for $25.96 a share. The stock is expected to pay $2.10 per share next month when the annual dividend is distributed. Auto Deliveries has established a pattern of increasing its dividends by 4.7 percent annually and expects to continue doing so. What is the market rate of return on this stock?

12.79 percent

8.09 percent

17.49 percent

10.44 percent

15.14 percent

Reference no: EM131460987

Questions Cloud

Discuss whether kit is a resident of australia : HI6028 Taxation, Theory, Practice & Law Assignment. Discuss whether Kit is a resident of Australia and how his salary and investment income would be taxed
Short-run effect on funds requirements : Suppose a firm makes the following policy changes. Think in terms of the immediate short-run effect on funds requirements.
How many shares of stock will be outstanding after the stock : A firm has a market value equal to its book value. How many shares of stock will be outstanding after the stock repurchase is completed?
How would errors in these estimates impact the WACC : Calculating the WACC for a firm requires a number of inputs, many of which are estimates. How would errors in these estimates impact the WACC?
What is the market rate of return on this stock : The common stock of Auto Deliveries sells for $25.96 a share. What is the market rate of return on this stock?
About the APR of the loan : You have arranged for a loan on your new car that will require the first payment today. what is the APR of the loan?
Total return of tips in percentage : Consider a 4.80 percent TIPS with an issue CPI reference of 201.2. total return of tips in percentage? and total return of tips in dollars?
Computerized corporate planning models : Would you agree that computerized corporate planning models were a fad during the 1990s but that because of a need for flexibility in corporate planning,
Breakeven probability : Breakeven Probability: Suppose you are selling a product for $5 per unit; your competitor is also charging $5 per unit.

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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