What is the stock expected rate of return

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1. (Bondholders' expected rate of return) The market price is $900 for a 10-year bond ($1,000 par value) that pays 6 percent interest (3 percent semiannually). What is the bond's expected rate of return. The bond's expected annual rate of return is %. (Round to two decimal places.)

2. (Common stock valuation) Schlumberger is selling for $ 64.91 per share and paid a dividend of $ 1.10 last year. The dividend is expected to grow at 4 percent indefinitely. What is the stock's expected rate of return? The stock's expected rate of return is %. (Round to two decimal places.)

Reference no: EM131821622

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