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1680.aspx Dell Links Bing Service Master Company issues $100,000 in bonds, due in three years with 9 percent interest payable annually at year-end (ordinary annuity).

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1680.aspx Dell Links Bing Service Master Company issues $100,000 in bonds, due in three years with 9 percent interest payable annually at year-end (ordinary annuity). At the time of issue, the market rate for such bonds is 11 perc ent. Calculate the bond's price. $95.112.57 $75, 112.57 S65 112.57 $85 112.57 493 Suppose you are reviewing a bond that has a 10% annual coupon and a face value of $1000. There are 20 years to maturity, and the yield to maturity is 15%. What is the price of this bond? $787.03 $68703 $887 03 S587.03 - If an ordinary bond has a coupon rate of 14 percent, then the owner will get a total of $140 per year, b ut this $140 will come in two payments of $70 each. The yield to maturity is quoted at 24 percent. The bond matures in seven years. Calcuate the bond's price. S468.58 $568 59 $668.59 $768.59 Consider a bond with a 10% annual coupon rate, 3 years to maturity, and a par value of $1,000. The cu rrent price is $928.09. What is the amount of yield to maturity? A. 396 B. 13 C. 239 21 90680 px Dell Links Bing **Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a $3 dividend in one year, and you believe that you can sell the stock for $14 at that time. 1) If you require a return of 20% on investments of this risk, what is the maximum you would be willing to pay? $14.17 $13.17 15 $11.17 $12.17 49 Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a $3 dividend in one year. In addition to the dividend in one year, you expect a dividend of $3.2 in two years and a st ock price of $14.70 at the end of year 2. If you require a return of 20% on investments of this risk. Wha t is the price of the stock? $16.93 $14.93 $15.93 $1793 Suppose a stock is expected to pay a $0.50 dividend every quarter indefinitely and the required return is 40% with quarterly compounding. What is the price? $15 $10 $20 S5 Suppose Big D, Inc., just paid a dividend of $1.4 per share. It is expected to increase its dividend by 2% per year. If the market requires a return of 15% on assets of this risk, how much should the stock be selling for? $6.98 SA 99 + 30.aspx Dell Links Bing Suppose Big D, Inc., just paid a dividend of $1.4 per share. It is expected to increase its dividend by 2% per year. If the market requires a return of 15% on assets of this risk, how much should the stock be selling for? $8.98 $8.98 $10 98 $798 Suppose TB Pirates, Inc., is expected to pay a $15 dividend in one year. If the dividend is expected to grow at 5% per year and the required return 20%, what is the price? $75 $100 S3 $30 Gordon Growth Company is expected to pay a dividend of $4 next period, and dividends are expected to grow at 6% per year. The required return is 16%. What is the current price? And What is the price e xpected to be in year 4? Current price $505, price in year 4=$4 Current price $40, price in year 4=550.5 Current price $4. pnce in year 4=$5.05 Current price=$50,5 price in year 4-S40 Suppose a firm is expected to increase dividends by 20% in one year and by 15% in two years. Aftert hat, dividends will increase at a rate of 6% per year indefinitely. If the last dividend was $1 and the req uired return is 20%, what is the price of the stock? $1.449 $9.66 MY - x 1680.aspx Dell Links Bing Service Master Company issues $100,000 in bonds, due in three years with 9 percent interest payable annually at year-end (ordinary annuity). At the time of issue, the market rate for such bonds is 11 perc ent. Calculate the bond's price. $95.112.57 $75, 112.57 S65 112.57 $85 112.57 493 Suppose you are reviewing a bond that has a 10% annual coupon and a face value of $1000. There are 20 years to maturity, and the yield to maturity is 15%. What is the price of this bond? $787.03 $68703 $887 03 S587.03 - If an ordinary bond has a coupon rate of 14 percent, then the owner will get a total of $140 per year, b ut this $140 will come in two payments of $70 each. The yield to maturity is quoted at 24 percent. The bond matures in seven years. Calcuate the bond's price. S468.58 $568 59 $668.59 $768.59 Consider a bond with a 10% annual coupon rate, 3 years to maturity, and a par value of $1,000. The cu rrent price is $928.09. What is the amount of yield to maturity? A. 396 B. 13 C. 239 21 90680 px Dell Links Bing **Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a $3 dividend in one year, and you believe that you can sell the stock for $14 at that time. 1) If you require a return of 20% on investments of this risk, what is the maximum you would be willing to pay? $14.17 $13.17 15 $11.17 $12.17 49 Suppose you are thinking of purchasing the stock of Moore Oil, Inc. You expect it to pay a $3 dividend in one year. In addition to the dividend in one year, you expect a dividend of $3.2 in two years and a st ock price of $14.70 at the end of year 2. If you require a return of 20% on investments of this risk. Wha t is the price of the stock? $16.93 $14.93 $15.93 $1793 Suppose a stock is expected to pay a $0.50 dividend every quarter indefinitely and the required return is 40% with quarterly compounding. What is the price? $15 $10 $20 S5 Suppose Big D, Inc., just paid a dividend of $1.4 per share. It is expected to increase its dividend by 2% per year. If the market requires a return of 15% on assets of this risk, how much should the stock be selling for? $6.98 SA 99 + 30.aspx Dell Links Bing Suppose Big D, Inc., just paid a dividend of $1.4 per share. It is expected to increase its dividend by 2% per year. If the market requires a return of 15% on assets of this risk, how much should the stock be selling for? $8.98 $8.98 $10 98 $798 Suppose TB Pirates, Inc., is expected to pay a $15 dividend in one year. If the dividend is expected to grow at 5% per year and the required return 20%, what is the price? $75 $100 S3 $30 Gordon Growth Company is expected to pay a dividend of $4 next period, and dividends are expected to grow at 6% per year. The required return is 16%. What is the current price? And What is the price e xpected to be in year 4? Current price $505, price in year 4=$4 Current price $40, price in year 4=550.5 Current price $4. pnce in year 4=$5.05 Current price=$50,5 price in year 4-S40 Suppose a firm is expected to increase dividends by 20% in one year and by 15% in two years. Aftert hat, dividends will increase at a rate of 6% per year indefinitely. If the last dividend was $1 and the req uired return is 20%, what is the price of the stock? $1.449 $9.66 MY - x

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