What is the project payback period

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1. Your company is considering the following project. The costs and cash flows are listed below. Year Project Cash Flows 0 -$41,000 1 15,700 2 19,400 3 24,300 4 18,100 What is the project's payback period?

2. Gas Co., Inc. just paid a dividend of $2.05. They maintain a constant growth rate of 4% and the stock is currently selling for $35. What is the required return?

3. The last dividend paid by ABC, Inc. was $1.00. ABC's growth rate is expected to be 0 for two years, after which dividends are expected to grow at a rate of 3% forever. The required rate of return is 8%. What is the current price of the stock?

Reference no: EM131984838

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