A company paid a dividend of sh$.2$ in the current financial year. The annual dividend is expected to grow at the rate of $5\%$ in perpetuity The investor's

minimum required rate of return is $10\%.$

Determine the current intrinsic value of a share.

Question $13$Select one:

$42$

$20$

$40$

$21$

Question $14$

In the formula $ke=(D\frac{1}{P}0)+g,$ what does g represent?

Question $14$Select one:

the dividend yield from a preferred stock.

the expected dividend yield from a common stock.

The expected price appreciation yield from a common stock.

the interest payment from a bond

Question $15$

Question text

ELW Co recently paid a dividend of Shs $0\mathrm{.}50$ a share. This is Shs $0\mathrm{.}10$ more than three years ago. Shareholders have a required rate of return of

$10\%$ Using the dividend valuation model and assuming recent dividend growth is expected to continue, what is the current value of a share?

Question $15$Select one:

Sbs $38\mathrm{.}48$

Shs$.10\mathrm{.}48$

Shs $5\mathrm{.}00$

Sbs $23\mathrm{.}41$