1)A firm is expected to pay by the end of this year a dividend of $.50 (D1). The past growth rate of dividends has been 5% and the discount rate (k) for the firm's risk is 9%. a)$12.50 b)$5.50 c)$10 d)$20

2) Preferred stock pays a dividend of $6.00 per year. The discount rate is also called the minimum return required by investors, for the company's risk is 7%. How much should the stock sell for? "

a)$85.71 b)$92.92 c)$100 d)$75.75

3)4RJB paid a dividend in 2019 of $1.50 (D0). Dividends are expected to grow as in the past at 9% per year. If investors want a minimum return of 15% how much should RJB?s stock be selling, for now, 2020?

a)$27.05 b)$27.25 c)$25 d)$15

4) A company's dividend in 2019 was $3.00 and has been growing at 6% per year. How much is the expected dividend at the end of this year 2020?

a)$3.79 b)$3.57 c)$3.37 d)$3.18