Reference no: EM13214029
Please provide the answer for below question in Excel with calculation and computation.
1. The common stock of Wetmore Industries is valued at $60.8 a share. The company increases their dividend by 3.4 percent annually and expects their next dividend to be $4.1. What is the required rate of return on this stock?
a. 5.91
b. 8.46
c. 10.14
d. 15.82
2. A stock's next dividend is expected to be $0.9. The required rate of return on stock is 11.3%, and the expected constant growth rate is 7.6%. What is the stock's current price?
a. 19.28
b. 24.32
c. 8.28
d. 23.67
3. ABC just paid a dividend of D0 = $0.6. Analysts expect the company's dividend to grow by 34% this year, by 24% in Year 2, and at a constant rate of 7% in Year 3 and thereafter. The required return on this stock is 15%. What is the best estimate of the stock's current market value?
a. 16.86
b. 11.54
c. 9.87
d. 8.35
4. If last dividend = $4.6, g = 3.8%, and P0 = $77.3, what is the stock's expected total return for the coming year?
a. 9.98
b. 5.38
c. 7.37
d. 4.84
5. ABC's stock has a required rate of return of 17.2%, and it sells for $34 per share. The dividend is expected to grow at a constant rate of 7.2% per year. What is the expected year-end dividend, D1?
a. 1.78
b. 2.74
c. 3.94
d. 3.40
6. A stock just paid a dividend of $1.7. The required rate of return is 9.6%, and the constant growth rate is 4.8%. What is the current stock price?
a. 37.12
b. 64.24
c. 23.96
d. 15.98
7. ABC's last dividend was $3.4. The dividend growth rate is expected to be constant at 27% for 3 years, after which dividends are expected to grow at a rate of 7% forever. If the firm's required return (rs) is 16%, what is its current stock price (i.e. solve for Po)?
a. 47.97
b. 65.31
c. 37.85
d. 48.91
8. A stock is expected to pay a dividend of $0.5 at the end of the year. The required rate of return is rs = 9.6%, and the expected constant growth rate is g = 6.1%. What is the stock's current price?
a. 4.98
b. 6.92
c. 11.59
d. 14.29
9. The common stock of Connor, Inc., is selling for $25 a share and has a dividend yield of 4 percent. What is the dividend amount?
a. 7
b. 2
c. 3
d. 1
10. A stock just paid a dividend of D0 = $1.1. The required rate of return is rs = 9.2%, and the constant growth rate is g = 6%. What is the current stock price?
a. 36.44
b. 18.3
c. 10.89
d. 9.16
|
State the enthalpy change when 1 mole of ammonia gas
: What is the enthalpy change when 1 mole of ammonia gas is decomposed into its elements?
|
|
Explain monoprotic acid dihydrogen pthalate
: monoprotic acid. Dihydrogen pthalate (H2C8H4O4) is a diprotic acid. An analyte sample contains 0.127 M KHP and 0.0678 M (H2C8H4O4). What volume of a 0.205 M NaOH solution is required to neutralize 25.0 mL of the analyte solution.
|
|
What is the devices vb at the end of four years
: Suppose that after depreciating the device for two years with SL method, the firm decides to switch to the double declining balance depreciation method for the remainder of the device's life (the remaining three years). What is the device's VB at ..
|
|
In what ways was it a man''s world in the nineteenth century
: In what ways was it a man's world in the nineteenth century? How much has changed today? In what ways did the changes in woman's role in the early nineteenth century represent an improvement or a deterioration from earlier conditions.
|
|
What is the required rate of return on stock
: What is the required rate of return on stock and what is the stocks current price - What is the best estimate of the stocks current market value?
|
|
Compute ?h for the solution process
: When a 3.25 g sample of solid sodium hydroxide was dissolved in a calorimeter in 100.0 g of water, the temperature rose from 23.9 °C to 32.0 °C. Calculate ?H (in kJ/mol) for the solution process: NaOH (s) → Na+ (aq) + OH- (aq)
|
|
How to give the hypothetical elastisicites
: You have been hired to predict the effects of increasing the price of itunes songs by 10% from .99 cents to $1.09. You are interested in the effects of the price hike on the number of songs downloaded legally from itunes the number of songs downlo..
|
|
What type of party system
: What type of party system does the U.S. have, and, as a result, what is likely to happen to the Tea Party and why?
|
|
The process of psychotherapy
: During the process of psychotherapy, Elaine recovered some long-forgotten and painful memories from her childhood. This experience led her to conclude that these memories must have been repressed for many years.
|