5b

The next year the common stock of Gold Corp. will pay a dividend of $8.87 per share. If the company is growing at a rate of 5.87 percent per year, and your required rate of return is 10.06 percent, what is Gold's company stock worth to you?

Round the answer to two decimal places.

Your Answer:

5c1

King Farm Manufacturing Companys common stock has a beta of 1.45. If the risk-free rate is 3.52 percent, and the market return is 5.14 percent, calculate the required return on King Farm Manufacturings common stock.

Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box)

Your Answer:

Question 3 (1 point) Golden Rod Corp.'s preferred stock is currently selling for $37.46. The company pays $6.27 annual dividends on this preferred stock. Which rate of return does the investor expect to receive on this stock if the stock is purchased today? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your