Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

just need asnwer thanks 25. What is the geometric return of a fund for the last 7 years with the following returns? 2011 14% 2010

image text in transcribed

just need asnwer thanks

image text in transcribed
25. What is the geometric return of a fund for the last 7 years with the following returns? 2011 14% 2010 10% 2009 6% 2008 2% 2007 .9% 2006 2% 2005 -3% 5.03% 5.05% 5.07% 5.09% Make your selection: 26. What is the intrinsic value of a stock that expects to pay its first dividend of $1.75 in a year? The firm believes it can maintain a constant growth rate of 5% on the dividend, and the required return for the stock is 9.57% A. 38.19 38.29 38.39 38.49 Make your selection: 27. A preferred stock pays an annual dividend of $4.25. If the required return is 7%, what is the intrinsic value of the stock? A. 60.71 66.21 72.71 78.21 Make your selection: The following information is provided for questions 28 -32 ABC stock has: Current Price 75.75 Current Dividend 1.20 Earnings Per Share 6.00 Return on Equity 10% Beta 1.55 ABC will grow its stock at a constant rate in the future. In addition, the following market/economic data is provided: 90-day Treasury Bill Rate is 4% Anticipated return on the market for the next 12 months is 11% 28. How much is ABC's sustainable growth rate? A. 8.00% 9.80% jo 10.15% 10.20% Make your selection: 29. What is ABC's required return? 10.25% 14.85% 15.25% 20.50% Make your selection: 30. What is ABC's expected return? A . 9.71% 10.25% 15.27% 20.25% Make your selection

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of Financial Management

Authors: Eugene F. Brigham, ‎ Joel F. Houston

11th edition

324422870, 324422873, 978-0324302691

More Books

Students also viewed these Finance questions