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Can someone help solve these in the simplest way possible. Thank you in advance. 1. How much should an investor pay for a stock with
Can someone help solve these in the simplest way possible. Thank you in advance.
1. How much should an investor pay for a stock with a stable dividend of $0.77? Given: Want to earn a rate of return: 24.42%.
2. Find the price of a 4.2% annual coupon bond. Givens: face value = $1,000 , maturity =11 years. The markets YTM on a comparable risk and term bond = 7.3%.
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