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need all that Stock and Bond Valuation 1. A preferred stock promises a constant dividend of $ 4.00. Determine the value of that stock if

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Stock and Bond Valuation 1. A preferred stock promises a constant dividend of $ 4.00. Determine the value of that stock if the required rate of return is 5%. 2. Explain what happens if in the previous problem the required rate of return rises to 6%. Present financial reasons for that behavior. 3. Last year, XCD common stock paid $ 8.00 in dividends, calculate the value of that share if a 7% dividend growth is expected and the required return is 9%. 4. Determine how the above result is affected if the dividend growth rate increases to 8%. 5. A bond has a residual value of $ 10,000, an interest rate coupon of 6%, pays semiannual interest and has a maturity of 20 years. Calculate the value of the bond if the required rate of return is 6%. 6. Determine how the previous result is affected if this time the required return is 8%. By what name is this type of bond known. 7. Consider the data from the previous problem only this time the interest is paid annually, what is the value of the bond

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