I need help with this assignement.Answers and explainations

1. FINA Company is expected to pay $4 dividend per share at the end of this year. FINA's beta is 1.2. Three months US Treasury bill yield is 2 %, and the return on the S&P 500 index is 12 %. FINA Company is expected to growth at 6% per year forever. How much should be the value of FINA's shares? (2 points) If FINA shares are selling for $45 in the market, would you buy it? (1 point) 2. FINA Company paid $4 dividend per share last year. The cost of capital for FINA is 10 % and the company is expected to growth at 6% per year forever. How much should be the value of FINA's shares? (2 points) If FINA shares are selling for $110 in the market, is it over-valued or under-valued? Should you buy it? (1 point) 3. FINA preferred stocks are currently selling for $70/share. The preferred stocks pay a dividend of 1 of 2 $3/share. What is the return on FINA preferred stocks? (2 points) 4. FINA preferred stocks pay a dividend of $3/share. Investors are requiring 5% return on the preferred stocks. What is the fair value of FINA preferred stocks? (2 points) 2 of 2