Consider a bond paying an annual coupon of $80 with a face value of $1,000. Calculate the yield to maturity if the bond has: 20 years remaining to maturity and is priced at $1,200. 10 years remaining to maturity and is priced at $950. A common stock just paid an annual dividend of $2.5 yesterday. The dividend is expected to grow at 6 percent annually for the next five years, after which it will grow at 3 percent in perpetuity. The appropriate discount rate is 12 percent. What is the price of the stock? Use the following February 12,2014, Wall Street Journal quotation for Merck & Co. to answer the next question. Which of the following statements are false? The dividend yield is approximately 1.6 percent The closing price per share on February 10,2014, was $113.75. The closing price per share on February 11,2014,was $115. The earnings per share were about $3.83