The questions im needing are 1,2,3,11,13,14,15 (hence the blackout of questions) Please answer on excel spreadsheet. Thank you!!!
BASIC (Questions 1-14) LO1 1. Stock Values Fowler, Inc., just paid a dividend of $2.55 per share on its stock. The dividends are expected to grow at a constant rate of 3.9 percent per year, indefinitely. If investors require a return of 10.4 percent on this stock, what is the current price? What will the price be in 3 years? In 15 years? LO1 2. Stock Values The next dividend payment by Hoffman, Inc., will be $2.65 per share. The dividends are anticipated to maintain a growth rate of CHAPTER tot Maand solution use the he value of ptions referred dividend erred or a 45 percent forever. If the stock currently sells for $43.15 per share, what is the required return? 2 Stock Values for the company in the previous problem, what is the dividend yield? What is the expected capital gains yield? 101 what are ch do you L01 true that the stock L01 dends en for eate lasses of L01 y such ould not fits. idend? -s have buld of a sio to L01 e pack 11. Voluing Preferred Stock E-Eyes.com has a new issue of preferred stock it calls 20/20 preferred. The stock will pay a $20 dividend per year, but the first dividend will not be paid until 20 years from today. If you require a return of 7.3 percent on this stock beach shald you say today? LO -2.65 13. Stock Valuation and PE Ratio The Blooming Flower Co has earnings of $3.68 per share. The benchmark PE for the company is 18. What stock price would you consider appropriate? What if the benchmark PE were 212 PART 4 Valuing Stocks and Bonds LO 2 14. Stock Valuation and PS Ratio Twitter Me, Inc., is a new company and currently has negative earnings. The company's sales are $1.45 million and there are 130,000 shares outstanding. If the benchmark price-sales ratio is! 3.9, what is your estimate of an appropriate stock price? What if the price sales ratio were 3.2? INTERMEDIATE (Questions 15-30) LO 1 15. Nonconstant Growth Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 9 years because the firm, needs to plow back its earnings to fuel growth. The company will then pay a dividend of $23 per share 10 years from today and will increase the dividend by 5 percent per year thereafter. If the required return on this stock is 12 percent, what is the current share price