equation	formulas
Value of Preferred Stock	D / rp
Stock Price using WACC	Non-Discounted Horizon Value = EPSt+1 / (WACC growth rate) Stock Price = (Total Firm Value + Non-operating assets MV of Preferred Stock/Debt)/ total shares
Gordon Dividend Market Model	D / (Rs growth rate)
CAPM Required Rate of Return	risk-free rate + (market premium)*Beta. OR risk-free rate + (total market return risk-free rate)*beta
Sharpe Ratio	(Return risk-free rate) / standard deviation
Value of a Perpetuity	PV = PMT/I
Multiple Method	Price = EPS*Multiple company

11. A 15-year, 8% annual coupon bond selling for $1,500 can be called in 10 years for $1,200, what is its yield to call (YTC)? Assume a par value of $1000.