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[i]. A stock is expected to pay a dividend of $0.75 at the end of the year. The required rate of return is r_{s} = 10.5%, and the expected constant growth rate is g = 6.4%. What is the stock's current price?
a. $17.39 b. $17.84 c. $18.29 d. $18.75 e. $19.22[ii]. A stock just paid a dividend of D_{0} = $1.50. The required rate of return is r_{s} = 10.1%, and the constant growth rate is g = 4.0%. What is the current stock price?
a. $23.11 b. $23.70 c. $24.31 d. $24.93 e. $25.57[iii]. A share of common stock just paid a dividend of $1.00. If the expected long-run growth rate for this stock is 5.4%, and if investors' required rate of return is 11.4%, what is the stock price?
a. $16.28 b. $16.70 c. $17.13 d. $17.57 e. $18.01[iv]. If D_{1} = $1.25, g (which is constant) = 4.7%, and P_{0} = $26.00, what is the stock’s expected dividend yield for the coming year?
a. 4.12% b. 4.34% c. 4.57% d. 4.81% e. 5.05%[v]. If D_{0} = $2.25, g (which is constant) = 3.5%, and P_{0} = $50, what is the stock’s expected dividend yield for the coming year?
a. 4.42% b. 4.66% c. 4.89% d. 5.13% e. 5.39%[vi]. If D_{1} = $1.50, g (which is constant) = 6.5%, and P_{0} = $56, what is the stock’s expected capital gains yield for the coming year?
a. 6.50% b. 6.83% c. 7.17% d. 7.52% e. 7.90%[vii]. If D_{1} = $1.25, g (which is constant) = 5.5%, and P_{0} = $44, what is the stock’s expected total return for the coming year?
a. 7.54% b. 7.73% c. 7.93% d. 8.13% e. 8.34%[viii]. If D_{0} = $1.75, g (which is constant) = 3.6%, and P_{0} = $32.00, what is the stock’s expected total return for the coming year?
a. 8.37% b. 8.59% c. 8.81% d. 9.03% e. 9.27%Sign up for free and study better.
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