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Question 6 :A the start of the month, you have LE 4700 invested in CIB LE3100 in Egyptian Resort Company and LE 2200 in Sedi
Question 6 :A the start of the month, you have LE 4700 invested in CIB LE3100 in Egyptian Resort Company and LE 2200 in Sedi Kerir Petrochemicals. If you expect returns over the next month of 1% 2% and 1.5% respectively on these three assets, what retum would you expect on the portfolio of the three ? Question 7:If a preferred stock pays an annual $4.50 dividend, what should be the price of the stock if comparable yields are 10 percent? Question 8:Calculate the required rate of return for Mobinil's stock. The covariance between the total returns on the market and the stock equals 0.05, and the variance of the market is 0.03. The rate on a T-billis 0.08, the average annual retum on the market is 0.36. Question 9: Newman Manufacturing is considered a cash purchase of a stock of Grips Tool. During the year just completed, dividends are 2.55 per share(DO-2.55).Grips' earnings and dividends are expected to grow at 25% per year for the next 3 years, after which they are expected to grow at 10% per year to infinity. What is the maximum price per share that Newman should pay for Grips if it had a required return of 15% on investments with risk similar to the of Grips
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