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SCAN TRON 1) The Buy N Large Company paid a quarterly dividend of so 43 per share last quarter. Today, the company announced that future

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SCAN TRON 1) The Buy N Large Company paid a quarterly dividend of so 43 per share last quarter. Today, the company announced that future dividends will be increasing by 2.6 percent quarterly. If require a percent rate return, how much are you willing to pay to purchase one of share stock b) $6.88 c) $3.72 d) 33.55 e) $5.67 2) SPECTRE is a firm that has encountered some financial difficulties. The company projects that they will have enough cash flow to continue paying their current dividend for 4 more years before they must stop paying a dividend altogether. The company just paid a dividend of s, and will continue to pay the same dividend for the next 4 years, after which they will never pay another dividend. What the value of their stock if the discount rate is 10%? is a) S11.64 b) $14.02 c) $12.19 d) $10.30 e) S9.31 3) Los Pollos Hermanos is growing quickly. Dividends are expect to grow at 30% for the next three years, after which growth and dividends are expected to be a constant 5.25%. The required return is 15% and the company just paid a $0.85 annual dividend. What is the current share price? a) $16.80 b) $15.55 c) $18.41 d) $13.30 e) $18.75

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