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Please answer the below questions, the formula to be shown in an Excel Spreadsheet Q-1: Preferred Stock Market price A firm has a preferred stock

Please answer the below questions, the formula to be shown in an Excel Spreadsheet

Q-1: Preferred Stock Market price

A firm has a preferred stock with SAR 100 par value that pays a dividend of 12%. What is the market price for the stock if the required rate of return is 7%?

Q-2: Common Stock Market Price

A firm paid a dividend payment of SAR 500 last year and is expected to grow indefinitely at a rate of 6%. If you can achieve a 9% return on equity, what is the value of the stock?

Q-3: Preferred Stock Value

A corporation preferred stock is selling for SAR 1,500 per share and pays an annual dividend of SAR 160 per share. If the investor requires a return of 6%, what is the appropriate market value for the shares?

Q-4: Growth Rate

If a firm's return on equity is 15% and management plans to retain 50% of earnings for investment purposes, what will be the firm's growth rate?

Q-5: Dividend Constant Model-Stock Expected Rate of Return

A corporation paid a dividend of SAR 500 last year and the shares are selling for SAR 5,000 per share. The dividend is expected to grow at 6% indefinitely. What is the stock's expected rate of return?

Q-6: Required Rate of Return (CAPM)

A corporation's stock has a beta of 1.4. The risk-free rate is 6% and the expected return on the market is 10%. What is the required rate of return on the stock using the Capital Asset Pricing Model (CAPM)?

Q-7: Cost of Debt

A firm's bond with a SAR 1,000 par value currently selling at SAR975. The coupon rate is 10%

15 years to the maturity date and the corporate tax is 21%. What is the cost of debt after tax?

Q-8: Weighted Average Cost of Capital (WACC)

A corporation's balance sheet shows SAR 400 million in debt, SAR 50 million in preferred stock, and SAR 550 million in total common equity.

The firm's tax rate21%

Rate on Debt (Rd) Before Tax9%

Rate on Preferred Stock (Rps)7%

Rate on Common Stock (Rcs)12%

What is its Weighed Average Cost of Capital (WACC)?

Note: the formula to be shown in an Excel Spreadsheet

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