A company just paid a dividend of $1.25, and the dividends are expected to grow at a constant rate of 7.5% for very long time in the future. If the required return of the investors is 10.75%, what is the price of this company's stock? $31.32 $25.12 $20.90 $41.35 $60.28 QUESTION 11 A company has a capital structure that consists of $10 million of debt and $20 million of common equity, based upon current market values. The company's yield to maturity on its bonds is 8%, and the current stock price is $35, the last dividend paid was $1.10 and the dividends are expected to grow at constant rate of 7% for long time. If the tax rate is 40%, what is this company's WACC assuming that there won't be any new equity issuance? 8.3% 8.51% 10.73% 6.55% 9.34% A company's bonds have a $1,000 par value, and mature in 15 years. Their nominal yield to maturity is 12.50%, they pay interest semiannually, and currently they sell at a price of $925. What is the bond's nominal coupon rate? 9.50% 10.44% 11.38% 8.55% 12.32% QUESTION 9 A company pays $2.35 quarterly dividends on its perpetual preferred stocks. If the investors required return is 9.50% and the tax rate of this company is 35%, what is the current preferred stock price? 43.20 98.95 89.52 75.20 10 O 107.20