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Assume that Bon Temps is a constant growth company whose last dividend (D 0 , which was paid yesterday) was $2.00 and whose dividend is

Assume that Bon Temps is a constant growth company whose last dividend (D0, which was paid yesterday) was $2.00 and whose dividend is expected to grow indefinitely at a 6 percent rate. The appropriate rate of return for Bon Temps stock is 16 percent.

What is the firms expected dividend stream over the next three years?

What is the firms current stock price?

What is the stocks expected value one year from now?

What are the expected dividend yield, the capital gains yield, and the total return during the first year?

Assume that Bon Temps stock is currently selling at $21.20. What is the expected rate of return on the stock?

What would the stock price be if its dividends were expected to have zero growth?

Now assume that Bon Temps is a non-constant growth stock, the first three years in business they experience a growth rate of 18%, then it slows to 6%. Calculate the value of the stock, assuming the required rate of return is 20%. The last dividend paid, D0 is $1.50.

I have 1,2, and 3 but if you can do any of the rest I would greatly appreciate it.

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