What is the stock capital gain yield

Assignment Help Financial Management
Reference no: EM131130292

A company has just paid a dividend of 4.8$. Its discount rate is 10.6%, and the expected perpetual growth rate is 5.6%. What is the stock's Capital Gain Yield?

Reference no: EM131130292

Questions Cloud

Write a critique on one the movies that involve dancing : Writing a critique on one the movies that involve dancing and I picked "footloose".- What specific ?movement sequence are you relating to?
Prepare a ten pages report about neurobiology of hiv-aids : Prepare a ten pages report about Neurobiology of HIV/AIDS. The definition of the disease. What causes of the diseas? Estimated prevalence of the disease. What happen to the neurons.
What must be the one-year rate on the euro : The spot US dollar-euro exchange rate is $1.10/euro. The one-year forward exchange rate is $1.0782/euro. If the one-year dollar interest rate is 3%, then what must be the one-year rate on the euro? Both rates are continuously compounded.
Write a formative essay on money and banking of bitcoin : Bitcoin was designed and implemented in 2009 by a Japanese programmer, reputedly Satoshi Nakamoto (‘reputedly' because the real name of the inventor is uncertain). The bit coin scheme is based on a peer-to-peer network over the Internet, similar to B..
What is the stock capital gain yield : A company has just paid a dividend of 4.8$. Its discount rate is 10.6%, and the expected perpetual growth rate is 5.6%. What is the stock's Capital Gain Yield?
Economy of the ethnic community : In what ways have the ethnic restaurants and markets made the life of the ethnic population better - How have they contributed to the economy of the ethnic community?
Predict the effect of the bumper crop on the price of corn : This years weather was favorable throughout the country, and this years crop will be 110 million bushels, or 10 percent larger than last years. The price elasticity of demand for corn is 0.50.
Purchase of the injection-molding machine be justified : Larson Manufacturing is considering purchasing a new injection-molding machine for S250,000 to expand its production capacity. It will cost an additional $20,000 to do the site preparation. With the new injection-molding machine installed, Larson Man..
Search online for an informative speech or presentation : Search online for an informative speech or presentation that applies to business or industry. Indicate one part or aspect of the presentation that you thought was effective and one you would improve. Provide a link to the presentation in your entr..

Reviews

Write a Review

Financial Management Questions & Answers

  Calculate the total dollar-day float for the month

Calculate the total dollar-day float for the month, calculate the average dollar-day float, calculate the average collection float in days and calculate the annual cost of float assuming an annual opportunity costs of 6%.

  About the bond valuation

(Bond Valuation) Crawford Inc. has two bond issues outstanding, both paying the same annual interest of $85, called Series A and Series B. Series A has a maturity of 12 years, whereas Series B has a maturity of 1 year. What would be the value of each..

  Calculate the firms net income

Garden Pro Corporation has sales of 4,279,540; income tax of $509,967; the selling, general, and admin expenses of $284,673; depreciation of $340,470; cost of goods sold of $,619,760; and interest expense of $180,429. Calculate the firm’s net income.

  Analysis of future value-types of boreholes for drilling

In some manufacturing operation three types of boreholes for drilling may be used. The cheapest is a stainless high speed steel (HSS), but has a shorter one of gold or another oxide of titanium nitride life. what kind of hole should be used, accordin..

  Assets-liabilities and equity total revenue and net income

Use the Income Statement and Balance Sheet to determine the changes in: assets, liabilities, and equity total revenue and net income Briefly describe the change from the current and prior years in each of these key areas and determine if the changes ..

  Financed entirely with debt and common equity

Kansas Orthotics had $24,000,000 in sales last year. The company’s net income was $400,000. Its total assets turnover was 6.0. The company’s ROE was 15 percent. The company is financed entirely with debt and common equity. What is the company’s debt ..

  What net investment is required to acquire the icx system

What net investment is required to acquire the ICX system and replace the old system and compute the annual net cash flows associated with the purchase of the ICX system.Fred and Frieda have always wanted to enter the blueberry business.

  What is its future value and present value

Present and Future Value of an Uneven Cash Flow Stream An investment will pay $200 at the end of each of the next 3 years, $400 at the end of Year 4, $500 at the end of Year 5, and $700 at the end of Year 6. If other investments of equal risk earn 12..

  Annual interest payment-compute the yield to maturity

Bonds issued by the Coleman Manufacturing company have a par value of $1,000, which of course is also the amount of principal to be paid at maturity. The bonds are currently selling for $690. They have 10 years remaining to maturity. The annual inter..

  What must the beta be for the other stock in your portfolio

You own a portfolio equally invested in a risk-free asset and two stocks. If one of the stocks has a beta of 1.02 and the total portfolio is equally as risky as the market, what must the beta be for the other stock in your portfolio?

  Growth stocks outperform value stocks

Even though no final conclusion is currently warranted, a number of research papers, including those of Fama and French, have argued that: there is no noticeable difference in the returns of growth versus value stocks. growth stocks outperform value ..

  Bond make semi-annual payment-what is the current bond price

App Store Co. issued 13-year bonds one year ago at a coupon rate of 6.5 percent. The bonds make semi-annual payments. If the YTM on these bonds is 5.4 percent, what is the current bond price?

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