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Favored stock will pay a dividend this year of $ 2.67 per share and its stock pr

ID: 2760213 • Letter: F

Question

Favored stock will pay a dividend this year of $ 2.67 per share and its stock price is $ 53.76 . What is the dividend yield of the stock?

Your Answer:

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Your Answer:

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Your Answer:

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Your Answer:

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Your Answer:

Castles in the Sand generates a ROE of 23.5 percent and maintains a payout ratio of 0.6 . Its earnings this coming year will be $ 3.86 per share. Investors expect a return of 14.21 percent on the stock. What is the stocks P/E ratio?

Your Answer:

A share of common stock just paid a dividend of $ 1.63 . If the expected long-run growth rate for this stock is 4.1 %, and if investors' required rate of return is 14.60 %, what is the stock price?

Your Answer:

South Side Corporation is expected to pay the following dividends over the next four years: $ 0.81 , $ 2.18 , $ 4.45 , $ 5.34 . Afterwards, the company pledges to maintain a constant 4.5 percent growth rate in dividends, forever. If the required rate of return on the stock is 14.5 percent, what is the current share price?

Your Answer:

Based on the corporate valuation model, the value of Chen Lin Inc.'s operations is $ 530 million. Its balance sheet shows $ 118 million in notes payable, $ 82 million in long-term debt, $ 20 million in preferred stock, $140 million in retained earnings, and $280 million in total common equity. If the company has 24 million shares of stock outstanding, what is the best estimate of its stock price per share?

Your Answer:

Explanation / Answer

1)

Dividend yield = Next dividend/Share price

= $2.67/$53.76

= 4.97%