1. LMN Corp's dividends have grown from $1.85 to $2.15 over the last 5 years. What is the average annual compound growth rate in dividends? 3.05% 2. What is the value of a stock today if it just paid a dividend of $1.05 ? The required rate of return is 15% and the dividends are growing at a rate of 4%. $9.93 3. If a stock is currently trading for $25, and next year's dividend is expected to be $0.55, what is the implied required rate of return? Assume the dividends will be growing at a rate of 2.5% for the foreseeable future. 4.7% 4. Over the past 15 years, Maverick has increased their annual dividend from $0.10 to $0.75. If the required rate of return on the stock is 17%, what is this stock worth today if they just paid the 50.75 dividend? $32.70 5. Alex inc has common stock currently trading at $15. The required rate of return is 13% and the dividends have been growing at 4% and are expected to continue growing at that rate. What is the current dividend? $1,30 6. L\&O recently paid a dividend of $1.50. The stock is currently trading at $35. If the required rate of return is 12%, what is the implied growth rate in the dividends? 7.394 7. Cole inc has 250,000 shares of preferred stock outstanding. The preferred shares are currently trading for $58 and the required rate of return is 8%. What is the dividend on this stock? $4.64 8. Kellerman has $75 par value preferred stock. It pays a dividend of $1.25 and the required rate of return is 7%. What is the value of this stock today? $17.86