Question
help in finance question suppose that you Having the following data:- A $100 par value preferred stock with 10 % dividend & a 15% required
help in finance question suppose that you Having the following data:- A $100 par value preferred stock with 10 % dividend & a 15% required return. A $1 par value common stock with $3 EPS; a 5% risk-free rate; a 6% Market Risk-Premium; a 40% pay-out ratio; a 5% constant growth in EPS & dividend per share (g); Beta is 1.5. A 20 years 6 % coupon debenture (Non-guaranteed corporate bond) with a Yield-to-maturity (YTM) of 5%. Answer the following questions:- 1 - The preferred stock's price is ??? 2 - The common stock's price ? 3 - The required return on the market? 4 - The debenture's price is and The debenture's discount / premium ?( write down the equation) ( is face value = par value????=100??)
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