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Question 6 - Compute the price of a $ 1 , 0 0 0 par value, 1 2 percent ( semi - annual payment )
Question Compute the price of a $ par value, percent semiannual
payment coupon bond with years remaining until maturity
assuming that the bond's yield to maturity is percent? Round
your answer to decimal places and record your answer without
dollar sign or commas
Question Pharsalus Inc. just paid a dividend ie D of $ per share. This dividend is expected to grow at a rate of percent per year forever. The appropriate discount rate for Pharsalus's stock is percent. What is the price of the stock? Round your answer to decimal places and record your answer without dollar sign or commas
Question The stock of Robotic Atlanta Inc. is trading at $ per share. In the past, the firm has paid a constant dividend ie g of $ per share and it has just paid an annual dividend ie D However, the company will announce today new investments that the market did not know about. It is expected that with these new investments, the dividends will grow at forever. Assuming that the discount rate remains the same, what will be the price of the stock after the announcement? Round your answer to decimal places and record your answer without dollar sign or commas
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