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please answer all 5 parts to question neatly for easy view. thanks, will rate as best as i can do it plz X P7-24 (similar

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X P7-24 (similar to) Question Help Integrative Risk and Valuation Hamlin Steel Company wishes to determine the value of Crot Found a firm that it is considering acquiring for cash Hari wishes to determine the applicable discount rate to use as an out to the constant growth valuation model Cats stock is not public traded After studying the required returns offismart Catate publicly traded Hamin believes that an appropriate risk premium on Cattoos buto The y Ca nd r each of the past year is shown in the following table a. Given that Craft is expected to pay a dividend of $2.91 next year, determine the maximum cash price that Hamin should pay for each share of Craft Mint Round the growth rate to the nearest whole percent) Describe the effect on the resulting value of Crat from (1) A decrease in its dividend rowth of 2 from that exhibited over the 2014-2019 period A decrease its premium to 2. The required retum on Cras sock s Pound to the nearest whole percentage Enter your w ine wer box and then click Check Answ 5 Check Ant A Data Table idend of $2.91 nex le of Craft from: ate of 2% from that %. - X ht: Round the growth ra %. (Round to the (Click on the icon here into a spreadsheet.) in order to copy the contents of the data table below Year 2019 2018 2017 2016 2015 2014 Dividend per Share $2.80 $2.69 $2.59 $2.49 $2.39 $2.30 Print Done hex and then click Check Answer Saw Homework: Chapter 7 Homework Score: 0 of 1 pt X P7-24 (similar to) 8 of 8 (8 completo) HW Score: 70.42%, 5.63 of 8 Question Help Integrative Risk and Valuation Hamlin Steel Company wishes to determine the value of Craft Foundry, a firm that it is considering acquiring for cash. Harlin wishes to determine the applicable discount rate to use as an input to the constant growth valuation model Crafts stock is not publicly traded. After studying the required returns of firms similar to Crant that are publicly traded, Hamin believes that an appropriate risk premium on Craft stock is about 8%. The risk.free rate is currently 4% Craft's dividend per share for each of the past years is shown in the following table a. Given that Craft is expected to pay a dividend of $2.91 nent year, determine the maximum cash price that Hamlin should pay for each share of Craft (Hint Round the growth rate to the nearest whole percent) b. Describe the effect on the resulting value of Cronfrom: (1) A decrease in its dividend growth rate of 2% from that exhibited over the 2014-2019 period. (2) A decrease in its risk premium to 7% a. The required return on Craft's stock is % (Round to the nearest whole percentage) Homework: Chapter 7 Homework Score: 0 of 1 pt B of 8 (8 completo) HW Score: 70.42%, 5.63 X P7-24 (similar to) Question Help Integrative Risk and Valuation Hamin Steel Company wishes to determine the value of Craft Foundry, a firm that it is considering acquiring for cash. Hamin wishes to determine the applicable discount rate an input to the constant growth valuation model. Cras stock is not publicly traded A rstudying the required reums of firms similar to Crat that are public traded Hanin beleves that an appropriate premium on Craftstock is about the free rate is current 4% Crafts Vides per share for each of the past year is shown in the following table a. Given that Craft is expected to pay a dividend of $2.91 next year dermine the maximum cash price that Hari shu pay for each share of Cratt (Hint Round the growth rate to the nearest whole percent) b. Describe the effect on the resulting value of Craft from (1) A decrease in its dividend growth rate of 2% from that exibited over the 2014-2019 period. (2) A decrease in its risk premium to 7% a. The required return on Crails socis Round to the nearest whole percentage) Enter your answer in the answer box and then click Check Answer Cara remaining Check

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