Brown stock expects to pay dividends of $2.14 next year. Brown has a growth rate of 2%. What should be the price of this stock at the end of year 3 of you require a return of 9% ? C9 $30.95 (B) $31.88 (C) $32.44 (D) $31.30 $33.95 Question 18 Benjy Bakery is considering a project that is more risky than the firm's current operations. Therefore, the required return for this project will be 3% higher than Benjy Bakery's cost of capital. Benjy Bakery has a cost of equity of 9% and a pretax cost of debt of 8\%. The debt-equity ratio is .45 and the tax rate is 25%. What is the cost of capital for this project? C10 9% 15% 11% (D) 8% 1296 Road Runner has an after-tax cost of debt of 5.5%. cost of preferred stock of 10% and a cost of equity of 11%. The tax rate is 25%. Its target capital structure is 35% debt. 5% preferred, 60% common equity. What is the WACC for Road Runner? Blank 1 Bla Question 20 Dandy Dividend Distributors will pay a \$2 dividend next year, then a constant dividend of $2.22 for the next 3 years. After year 4 , dividends will have a constant growth rate of 2.5%. Your required rate of return for this stock is 10%. What is a fair price for Dandy Dividend Distributors stock? *Please enter your answer to the nearest penny Blank 1 B Question 21 Peppi preferred stock sells for $94. It was bought at issuance with a 9% dividend paid quarterly. What will be the amount of the next dividend? Blank 1 Add your answer What is the Standard Deviation of Cola Corp, if the overall expected return is 10.4%? Express your answer in a percentage to the first decimal. Blank 1 Blank 1 Add your answer Question 23 Pet Rock stock currently sells for $94.14 per share. Pet Rock stock requires an 8% return. This firm has always maintained 3% dividend growth. What was the dividend amount paid yesterday? Blank 1