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press) and I find the current price of Pepsi is $100. It also points out the dividend paid was $3.40 per share and the earnings

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press) and I find the current price of Pepsi is $100. It also points out the dividend paid was $3.40 per share and the earnings per share was $4.32. I know that Pepsi is expected to grow at 5% a year forever. Using the dividend growth model (Gordon growth model), what would be the total return (R) for Pepsi using The Wall Street Joumal data (approximately)? a) 9.5% b) 8.6% c) 8.4% d) 9.3% e) We cannot tell without further information. You plan to invest $3000 per year in a world portfolio index fund that pays 13% per year, how long will it take you to reach your retirement goal of $750,000 (approximately)? a) 27.3 years b) 30.3 years c) 32.1 years d) 36.1 years e) 28.7 years** I am looking in The Wall Street Journal (financial press) and I find the current price of Pepsi is $100. It also points out the dividend paid was $3.40 per share and the earnings per share was $4.32. I know that Pepsi is expected to grow at 5% a year forever. Using the dividend growth model (Gordon growth model), what would be the total return (R) for Pepsi using The Wall Street Joumal data (approximately)? a) 9.5% b) 8.6% c) 8.4% d) 9.3% e) We cannot tell without further information. You plan to invest $3000 per year in a world portfolio index fund that pays 13% per year, how long will it take you to reach your retirement goal of $750,000 (approximately)? a) 27.3 years b) 30.3 years c) 32.1 years d) 36.1 years e) 28.7 years**

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