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Q4. Do-It-Yourselfer Paul Kairdulf is fixing up a Sheriff's sale house for future sale. He has taken out a personal loan to finance these renovations.

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Q4. Do-It-Yourselfer Paul Kairdulf is fixing up a Sheriff's sale house for future sale. He has taken out a personal loan to finance these renovations. This loan requires monthly repayments of $760.55 over three years and the annual rate is 6%. Determine the amount borrowed to the nearest dollar. A. $ 22,500 B. $ 25,000 C. S 27,380 D. $ 29,917 E. $ 30,000 Q5. Citigroup has just paid their annual dividend of $1.40 (D) and their current share price is $48.32. If their dividends are growing at an annual rate of 4.5% what is the implied rate of return that investors require on their stock using the constant growth version of the Expected Dividend Model? A. 2.900% B. 3.785% C. 5.678% D. 7.397% E. 7.528% Given the following Wall Street Journal preferred stock listings from Tuesday, November 4, 2003, answer the following question. Assume that the quoted dividend is the current (D), annual dividend. PREFERRED STOCK LISTINGS STOCK (SYM) DIVYLD CLOSENET CHG ChaseCap pfE1.76 ? 25.23 -0.04 Q6. Assuming the market values the ChaseCap preferred shares in the quotation above) as a perpetuity, and that the quoted dividend is the current annual dividend, what is the market's required return for this stock? Round percentage answer to two decimals. A. 5.45% B. 6.13% C. 6.98% D. 7.17% E. 7.76%

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