Question
Task 3. A dividend of UAH 100 was paid per share. The dividend growth rate is 8%. The yield corresponding to the risk of investing
Task 3. A dividend of UAH 100 was paid per share. The dividend growth rate is 8%. The yield corresponding to the risk of investing in this share is 20%. Determine the value of the share.
Task 4. Annual dividends paid per share are 500 UAH, the market rate of return is estimated by the shareholder at 25% per annum. The market value of each share is equal to: a) 2 500 UAH; b) 1 500 UAH. In what market situation is it advisable for an investor to buy these shares in addition, and for which, in contrast, to sell available ones? Justify your answer.
Task 5. The net profit of a joint stock company with registered capital of UAH 800 thousand is 350 thousand UAH. The general meeting of shareholders decided that the net profit is distributed as follows: 75% - for payment of dividends, 25% - for development of production. Determine the estimated price of the company stock, the dividend rate, the current profitability of the stock, if at the time of calculation the bank interest rate was 25% and the nominal value of the share is UAH 800, and the shareholder purchase price is UAH 850.
At what price does the investor agree to purchase a zero coupon bond with a nominal value of UAH 8,000 and a maturity of 4 years if the acceptable rate of return is 19% per annum?
Suppose two zero coupon bonds of $ 10,000 are issued. each: 1) bond A for a period of two years; 2) Bond B for five years. The manager must determine the sensitivity of the bond and the movement of the market rate. The market rate is 8%.
Par value of a zero coupon bond, with a maturity of 6 years, is equal to UAH 1,000. Determine the value of the bond so that it provides the buyer with a yield to maturity of 25% per annum?
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