plz ans the following question asked above.
Chapter 8: Problems 6, 8, 12 Chapter 9: Problems 3, 4, 6, 8, 10, 15 Chapter 10: Problems 1, 13, 14, 22, 42 * 6. Stock Valuation (LO1) Suppose you know that a company's stock currently sells for $59 per share and the required return on the stock is 11%. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. If it's the company's policy to always maintain a constant growth rate in its dividends, what is the current dividend per share? 7. Stock Valuation (LO1) Goulds Corp. pays a constant $9.75 dividend on its stock. The company will maintain this dividend for the next 11 years and will then cease paying dividends forever. If the required return on this stock is 10%, what is the current share price? 8. Valuing Preferred Stock (LO1) Big Pond Inc. has an issue of preferred stock outstanding that pays a $4.75 dividend every year in perpetuity. If this issue currently sells for $93 per share, what is the required return? 12. Stock Valuation (LO1) Taleville Farms just paid a dividend of $3.20 on its stock. The growth rate in dividends is expected to be a constant 5% per year indefinitely. Investors require a 15% return on the stock for the first three years, a 13% return for the next three years, and an 11% return thereafter. What is the current share price? #3. Calculating Payback (LO2) McKernan Inc. imposes a payback cutoff of three years for its international investment projects. If the company has the following two projects available, should they accept either of them? Year Cash Flow (A) Cash Flow (B) -$60,000 -$ 70.000 1 23,000 15,000 2 28.000 18,000 3 21.000 26,000 8,000 230,000 4. Calculating Discounted Payback (LO3) An investment project has annual cash inflows of $4,200, $5,300, $6,100, and $7,400, and a discount rate of 14%. What is the discounted payback period for these cash flows if the initial cost is $7,000? What if the initial cost is $10,000? What if it is $13,000? 5. Calculating Discounted Payback (LO3) An investment project costs $10,000 and has annual cash flows of $2,900 for six years. What is the discounted payback period if the discount rate is 0%? What if the discount rate is 5%? If it is 19%? #6. Calculating AAR (LO4) You're trying to determine whether to expand your business by building a new manufacturing plant. The plant has an installation cost of $12 million, which will be depreciated straight-line to zero over its four- year life. If the plant has projected net income of $1,854,300, $1,907,600, $1,876,000, and $1,329,500 over these four years, what is the project's average accounting return (AAR)? 8. Calculating NPV (LO1) For the cash flows in the previous problem, suppose the firm uses the NPV decision rule. At a required return of 11%, should the firm accept this project? What if the required return was 25%? 9. Calculating NPV and IRR (LO1, 5) A project that provides annual cash flows of $17.300 for nine years costs $78,000 today. Is this a good project if the required return is 8%? What if it's 20%? At what discount rate would you be indifferent between accepting the project and rejecting it? 10. Calculating IRR (LOS) What is the IRR of the following set of cash Page 331 flows
