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i need help with these questions please thank you! #4 Suppose the risk-free rate is 3.55% and an analyst assumes a market risk premium of
i need help with these questions please thank you!
#4 Suppose the risk-free rate is 3.55% and an analyst assumes a market risk premium of 7.91%. Firm A just paid a dividend of $1.17 per share. The analyst estimates the of Firm A to be 1.27 and estimates the dividend growth rate to be 4.48% forever. Firm A has 293.00 million shares outstanding. Firm B just paid a dividend of $1.94 per share. The analyst estimates the of Firm B to be 0.81 and believes that dividends will grow at 2.39% forever. Firm B has 185.00 million shares outstanding. What is the value of Firm A? Submit Answer format: Currency: Round to: 2 decimal places. unanswered not_submitted Attempts Remaining: Infinity #5 Suppose the risk-free rate is 3.39% and an analyst assumes a market risk premium of 5.43%. Firm A just paid a dividend of $1.34 per share. The analyst estimates the of Firm A to be 1.28 and estimates the dividend growth rate to be 4.98% forever. Firm A has 274.00 million shares outstanding. Firm B just paid a dividend of $1.80 per share. The analyst estimates the of Firm B to be 0.83 and believes that dividends will grow at 2.05% forever. Firm B has 200.00 million shares outstanding. What is the value of Firm B? Submit Answer format: Currency: Round to: 2 decimal placesStep by Step Solution
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