Question 26 An issue of common stock has just paid a dividend of $3.75, its growth rates What is once if the market's rate of return is 16.7 Not yet answered Points out of 1 Select one: O A $25.01 Flag question OB. $46.88 O C $50.63 OD none of the above Queston 27 The cost of capital for common stock is ke=D1/ Pg What are the assumptions of the model? Not yet answered Points out of 1 Flag question Select one O A. Growth (9) is constant to infinity OB. The price earnings ratio stays the same. O C. The firm must pay a dividend to use this model O D. All of the above are assumptions of the model Question 28 Not yet answered Points out of 1 Madison Corporation has a $1.000 par value bond outstanding with a coupon rate of 8% interest. Interest payments are made semiannually. The bond matures in 20 years. If the yield to maturity for similar bonds 89%, what is the value of the bond? Select one: O A. $1,644 Flag question O B. $1,000 C. $935 O D. $908