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The common stock of Bethel Baked Goods is valued at $15.76 a share. The company Increases its dividend by 4.5% annually and the company's most

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The common stock of Bethel Baked Goods is valued at $15.76 a share. The company Increases its dividend by 4.5% annually and the company's most recent dividend was $.60 per share. What is the required rate of return on this stock? A) 8.48% B) 7.96% C) 8.29% D) 8.81% E) 9.03% Bond L has 9 years to maturity and a current price of $1123. The coupon rate is 2.5% paid-semiannually. The face value is $1,000. The bond is callable and will pay a call premium of $80. What is the bond's YTM? A) 1.063% B) 1.276% C) 0.532% D) 0.831% E) 1.663% MTM Ltd, issued one hundred $1,000 face value bonds. This bond's current market value of $748 will give a YTM of 8%. Interest payments are made every six months. The bonds mature in 7 years. What is the coupon rate of these bonds? A) 3.47% B) 3.23% C) 1.61% D) 1.74% E) 3.62% Jackson Corp, is expected to pay the following dividends over the next 5 years: $6. 7,5,3 and 8 . Afterwards, the company will maintain a constant 7% growth rate in dividends. Calculate the current price if the required return on stock is 9%. A) 221.22 B) 311.74 C) 300.75 D) 347.87 E) 229.23

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