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ve multiple choice(only one is correct) 1. Last year, when the stock of Alpha Minerals was selling for $55 a share the dividend yield was

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ve multiple choice(only one is correct) 1. Last year, when the stock of Alpha Minerals was selling for $55 a share the dividend yield was 3.2 percent. Today, the stock is selling for $41 a share. What is the total return on this stock if the company maintains a constant dividend growth rate of 2.5 percent? A. 6.13 percent B.6.58 percent C.6.90 percent D.7.47 percent Part two: calculation and analysis 1.A&M insurance company is offering a new policy to its customers. Typically the policy is bought by a parent for a child at the child's birth. The details of the policy are as follows: the purchaser (say, the parent) makes the following six payments to the insurance company: First birthday $800 Fourth birthday: $900 Second birthday $800 Fifth birthday: $1000 Third birthday $900 Sixth birthday: $1000 After the child's sixth birthday, no more payments are made. When the child reaches age 65, he or she receive $350,000. The relevant interest rate is 11 percent for the first 6 years and 7 percent for all subsequent years. Is the policy worth buying? Please give your explanation

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