1. After you retire in 40 years, you want to withdraw $100,000 per year for 20 years with the first withdrawal coming year after retirement. You will put away money at the end of each month for 40 years and you expect an average return of 9% per year. Find the amount needed to refund the 20 annual 100,000 retirement payments when you retire.

2. Assume the answer to the previous question is 1,000,000. What is your required monthly payments during the next 40 years?

3. Schnusenger corporation just paid a dividend of D0=$0.75 per share, and that dividend is expected to grow at a constant rate of 6.50% per year in the future. The company's beats 1.25, the required return on the market is 10.50%, and the risk-free rate is 4.50%. What is the company's current stock price?

4. Carby Hardware has an outstanding issue of perpetual preferred stock with an annual dividend of $7.50 per share. if the required return on this preferred stock is 6.5%, at what price should the preferred stock sell?

5. If D0= $2.25, g (which is constant) = 3.5%,and P0=$50, what is the stock's expected dividend yield for the coming year?