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16. An unsecured debt usually with a maturity often years or more is called a (an) a. registered form. b. bearer form. c. indenture. d,
16. An unsecured debt usually with a maturity often years or more is called a (an) a. registered form. b. bearer form. c. indenture. d, debenture. e. note 17. What would you pay today for a stock thatisexpected to make a $1.7o dividend in one year if the expected dividend growth rate is 5% and you require an 11% return on your investment? a. $34.00 b. $28.33 c. $24.29 d. $21.25 e. $18.89 18. A stock that pays a constant dividend of $1.05 forever currently sells for $11.54. What is the required rate of return? a. 9.10% b, 8.23% C. 7.37% d. 6.50% e. 5.63% 19. The stock of Hampton Corp. currently sells for $90 per share. The firm has a constant dividend growth rate of 49% and just paid a dividend of $4.50. Ifthe required rate of return is 9%, what will the stock sell for three years from now? a. 90.00 b. 101.24 c. 109.50 d. 123.17 e. 133.22
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