#9 and 10

A stock with a required rate of return of 10 percent sells for $30 per share. The stock's dividend expected to grow at a constant rate of 7 percent per year. What is the expected year-end dividend, D_1, on the stock? $0.87 $0.95 $1.02 $0.90 $1.05 You have developed the following data on three stocks: If you are a risk minimizer, you should choose Stock if it is to be held in isolation and Stock if it is to be held as part of a well-diversified portfolio. A, A A; B B; A C; A C; B Stock A has a return of 20% and standard deviation of 30%. Stock B has a return of 15% and a standard deviation of 17%. Which of the following statement is most correct? Buy Stock A for a single - stock portfolio. Buy Stock B for a single-stock portfolio