Question
Based on the following information concerning Ford preferred stock, Preferred dividend per share: $9 Beta: 0.85 Risk free rate: 5% Market risk premium: 6% Calculate
Based on the following information concerning Ford preferred stock,
Preferred dividend per share: $9
Beta: 0.85
Risk free rate: 5%
Market risk premium: 6%
Calculate the expected price in 4 years. You expect the risk free rate to decrease to 3% and the market risk premium to increase to 10% in 4 years.
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs
11th edition
134141083, 978-0134141084
