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9. Schnusenberg Corporation just paid a dividend of Do $0.75 per share. and that dividend is expected to grow at a constant rate of 6.50%

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9. Schnusenberg Corporation just paid a dividend of Do $0.75 per share. and that dividend is expected to grow at a constant rate of 6.50% per year in the future required return on the market is 10.50%, 4.50% The company's beta is 1.25, the and the risk-free rate is What is the company's current stock value (price)? $14.01 $14.52 a b. $15.26 d. $15.64 c. $16.03 e. 10. Suppose Boyson Corporation's projected free cash flow for next year is FCF $150,000, and FCF is expected to gro constant at a rate of 6%. WACC) is 12%, what is the firm's total corporate value? If the company' s weighted average cost of capital a. $2,500,000 b. $2,707,500 c. $2,850,000 d. $3,000,000 e. $3,150,000 11.XY2 Corp. is considering the purchase of a new machine for $50,000, can be depreciated according to the depreciation rates below. firm expects to operate the machine for 4 years and then to sell it for $12,500. after-tax salvage value be when the machine is sold at the end of Year 4? The machine has a tax life of 5 years, and it The installed. If the marginal tax rate is 40%, what will the Depreciation Rate 0.2 Year 1 0.32 2 0.19 0.12 3 0.11 0.06 6 a. $ 8,878 b. $9,345 c. $9,837 d. $10,355 e. $10,900 XYZ Corp. is considering two mutually exclusive projects. Project X 12. Both require an initial investment of $10,000 at t 0. has an expected life of 2 years with after-tax cash inflows of $6,000 and $8,000 at the end of Years 1 and 2, re spective ly. addition, Project X can be repeated at the end of Year 2 with no changes in its cash flows. years with after-tax cash inflows of $4,000 at the end of each of the next 4 years. replacement chain approach, what is the NPV of the most profitable project? Ir coject Y has an expected life of 4 Using the Each project has a WACC of 8%

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