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PAGE: 12 Fat.2. 2022 3. 0 (3 points) Find the price of a stock that has a constant growth rate of 4%, a current dividend
PAGE: 12 Fat.2. 2022 3. 0 (3 points) Find the price of a stock that has a constant growth rate of 4%, a current dividend of $7, and a required return of 10%. (1 point) What happens if the growth rate is greater than the required rate of return? 0 ( 2 points) If the P:E ratio is 30 , and the projected eamings for the firm are $5 /share, and the dividend is $3/5hare what is the expected price? (1. point) Why do some stocks have a high PJE ratio relative to other stocks? 0 (1 point) What is the expected capital gains yleld? 9 (I point) What is the expected dividend yield? 6. (4 points) The required rate of return for a stock is I5\%. The company just paid a dividend of 56 per share. The current price is $100. Calculate the growth rate. (9) (3 points) What is the retumyicld of a stock that was purchased one year ago for $30 and is now worth $18. The stock also paid a dividend of 54 for the year. (9) (4 points) A company just pald in mnual dividend of 55 , Assume that the price for the company is S40 and the growth rate 6%. What is the required rate of return
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