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Class exercise case Zylon Corp Zylon Corporation was founded in 1992. The company's line of business includes the manufacturing of industrial rubber goods, rubberized fabrics,

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Class exercise case Zylon Corp Zylon Corporation was founded in 1992. The company's line of business includes the manufacturing of industrial rubber goods, rubberized fabrics, and miscellaneous rubber specialties. INCORPORATED INDUSTRY SECTOR Industrials SUB-INDUSTRY Industrial Industrial Products Intermediate Prod NO. OF EMPLOYEES WEBSITE PHONE 1-845-425-9469 www.zylon.net ADDRESS 23 Mountain Ave Monsey, NY 10952 United States Zylon Corporation's stock is selling for $48 a share according to The Wall Street Journal. We've heard a rumor that the firm will make an exciting new product announcement next week. By studying the industry, we've concluded that this new product will support an overall company growth rate of 20% for about two years. After that, we feel growth will slow rapidly and level off at about 6%. The firm currently pays an annual dividend of $2.00, which can be expected to grow with the company. The rate of return on stocks like Zylon is approximately 10%. Is Zylon a good buy at $48

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