Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on May 19, 2024

What should be the price of a stock if each time dividend is $3 a share forever and the stock has a required return

What should be the price of a stock if each time dividend is $3 a share forever and the stock has a required return of 8%? O $11.23 $13.75 O $37.50 O $46.86

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Basic Finance An Introduction to Financial Institutions Investments and Management

Authors: Herbert B. Mayo

10th edition

1111820635, 978-1111820633

More Books

Students also viewed these Finance questions

Question

Exercise 14-27 (Algorithmic) (LO. 4) Peyton sells an office building and the associated land on May 1 of the current year. Under the terms of the sales contract, Peyton is to receive $2,751,600 in...

Answered: 1 week ago

Question

1. Calculate the cost of each capital component, after-tax cost of debt, cost of preferred, and cost of equity with the DCF method and CAPM method. 2. What do you estimate the company?s WACC? Please...

Answered: 1 week ago

Question

have a question on part B question 1 & 2...

Answered: 1 week ago

Question

A company is implementing Dynamics 365 Supply Chain Management. The company plans to implement the solution in a phased approach across several incremental projects. The project manager needs a...

Answered: 1 week ago

Question

★★★★★

In Figure six charged particles surround particle 1 at radial distances of either d = 1.0 cm or 2d, as drawn. The charges are q1 = + 2e, q2 = + 4e, q3 = + e, q4 = + 43, q5 = + 2e, q6 = + 8e, q7 = +...

Answered: 1 week ago

Question

★★★★★

Describe the concept of customer lifetime value. Explain how consideration of this factor could be included in the GBE formula.

Answered: 1 week ago

Question

★★★★★

Discuss the use of third-wave therapies in psychotherapy practice.

Answered: 1 week ago

Question

★★★★★

Clapper Industries reported taxable income of $290,000. a. What is Clappers marginal tax rate based on the corporate tax rate table in this appendix? b. What is Clappers average tax rate? c. If...

Answered: 1 week ago

Question

★★★★★

Given the following linear programming problem instance. Maximize 3 x + 2 y x + y - 2 x + y 2 x 0 , y 0 i . Show the feasible region defined by the above instance, geometrically, if exists. ii . What...

Answered: 1 week ago

Question

★★★★★

Use Solver to determine the weights for a four-period weighted moving average on the data set that minimizes the MSE. a. What are the optimal values for the weights? b. Prepare a line graph comparing...

Answered: 1 week ago

Question

★★★★★

a. You manage a risky portfolio with expected rate of return of 9% and standard deviation of 13%. Risk free rate of return is 3%. What are the characteristics of feasible investment portfolios for...

Answered: 1 week ago

Question

★★★★★

Develop two (2) action areas to focus on in order to achieve your next level of business leadership (i.e., the job description you previously discussed in your career plan, Part 2). Specifically, you...

Answered: 1 week ago

Question

★★★★★

1. Would you continue using only an inside sales model, or would you add a field sales function to seek out large enterprise customers What are the benefits, costs, and or limitations of an inside...

Answered: 1 week ago

Question

★★★★★

Update staff on change management processes Make some changes to your Communication and Education Plan based on your own recommendations and inform staff of what these changes are. Changes must be...

Answered: 1 week ago

Question

★★★★★

Distinguish, by including practical examples, the risk responses formulated by management during the risk management process.

Answered: 1 week ago

Question

★★★★★

A crisis of your choice Answer the questions: How was it managed? Assess the communication. What would you do to mitigate against it happening again

Answered: 1 week ago

Question

★★★★★

as it pertains to the 2020 target report https://corporate.target.com/annual-reports/2020/download Focus company-stockholders' equity disclosures In $ \lcm{4} $ Exercise 1.1, you were asked to...

Answered: 1 week ago

Question

★★★★★

A business had revenues of $280,000 and operating expenses of $315,000. Did the business (a) Incur a net loss (b) Realize net income?

Answered: 1 week ago

Question

★★★★★

Currency exchange rates, again. For the model of the EUR/GBP exchange rate discussed in Exercise 27, what would the cutoff rates be that would separate the a) highest 16% of EUR/GBP rates? b) lowest...

Answered: 1 week ago

Question

★★★★★

Mutual funds, once more. Based on the model N(0.062, 0.018) for quarterly returns from Exercise 23, what are the cutoff values for the a) highest 10% of these funds? b) lowest 20%? c) middle 40%? d)...

Answered: 1 week ago

Question

★★★★★

Normal IQs. Based on the Normal model N (100, 16) describing IQ scores from Exercise 24, what percent of applicants would you expect to have scores a) over 80? b) under 90? c) between 112 and 132? d)...

Answered: 1 week ago

Previous Question Next Question