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Fall 2020 3101 Section 007 Homework: P7 (Stocks or Equities) Score: 0 of 1 pt 2 of 6 (2 complete) P7-2 (similar to) Dietterich Electronics

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Fall 2020 3101 Section 007 Homework: P7 (Stocks or Equities) Score: 0 of 1 pt 2 of 6 (2 complete) P7-2 (similar to) Dietterich Electronics wants its shareholders to earn a return of 9% on their investment in the company. At what price would the stock need to be prioed today if Dietterich Electronics had a a. $0.40 constant annual dividend forever? b. $1.20 constant annual dividend forever? c. $1.80 constant annual dividend forever? d. $3.30 constant annual dividend forever? a. The value of the stock for an investor who wants a return of 9% with a constant annual dividend of $0.40 forever is: (Round to the nearest cent) Enter your answer in the answer box and then click Check Answer Clear All 3 parts remaining Score! U ULIPE P7-3 (similar to) Singing Fish Fine Foods has a current annual cash dividend policy of $3.25. The price of the stock is set to yield a return of 14%. What is the price of this stock if the dividend will be paid a. for 11 years? b. for 15 years? c. for 42 years? d. for 60 years? e. for 100 years? f. forever? a. What is the price of this stock if the dividend will be paid for 11 years? (Round to the nearest cent.) Enter your answer in the answer box and then click Check Answer 5 parts Clear All remaining P7-5 (similar to) King Waterbeds has an annual cash dividend policy that raises the dividend each year by 5%. The most recent dividend, Divo, was $0.40 per share. What is the stock's price if a. an investor wants a return of 7%? b. an investor wants a return of 8%? c. an investor wants a return of 11%? d. an investor wants a return of 12%? e. an investor wants a return of 17%? a. What is the stock's price if an investor wants a return of 7%? (Round to the nearest cent.) Enter your answer in the answer box and then click Check Answer parts remaining Clear All JCU. UPPE b of B complete P7-6 (similar to) Seitz Glassware is trying to determine its growth rate for an annual cash dividend. The most recent dividend, Divo, was $0.70 per share. The stock's target return rate is 11%. What is the stock's price a. the annual growth rate is 2%? b. the annual growth rate is 5%? c. the annual growth rate is 7%? d. the annual growth rate is 8%? e. the annual growth rate is 9%? a. What is the stock's price if the annual growth rate is 2%? (Round to the nearest cont.) Enter your answer in the answer box and then click Check Answer Clear All 4 parts remaining

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