2. PT Vape has a required return of 15%. The company will pay $6.5 per share dividend in 5 years and increase the dividend by 3% in the following year. PT Vape give no dividends for the first 5 years. Find the current share price a. 25.9 b. $20.0 c. $20.5 d. 27.2 e. 26.9

3. Every year, PT Pisente pay the dividends for their stockholders. This year (2020) they will give $5.1 for each share, and in the 2021, they will give $5.8 for each share. The required return for this company is 25%. How much the price of Pisente's stock value now (2020)?.

4. Bond Q currently sells at 115% of par value. It has 8.5% of coupon rate and 6% of YTM. How long will Bond Q matures?. a. 7 year b. 6 year c. 5 year d. 8 year e. 9 year

5. Magnet corp. has sales revenue of $50,000, cost of good sold $22,500, depreciation expense $5000 and interest expense of $1,500. If the tax rate is 25%, what is the operating cash flow?

a. No right answer

b. 22,250 ?

c. 21,000

d. 13,650

e. 27,500

6. Bond A has a rating of B.

Bond B has a rating of AAA.

Which one of the following statements is true regarding these two bonds?

a. Bond A has an investment grade quality

b. Bond B has an investment grade quality

c. Required return on Bond A is lower than Bond B

d. Required return on both bond doesn't depend on their credit rating.

e. Required return on both bond is on the same level