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A: Please refer to the image below.
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A stock has a market price of $33.45 and pays a $.95 dividend. What is the dividend yield?
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- n the formula ke >= (D1/P0) + g, what does (D1/P0) represent? Select one: a. The expected capital gains yield from a common stock b. The interest payment from a bond c. The expected dividend yield from a common stock d. The dividend yield from a preferred stockA stock has a dividend yield of 2.85% and a capital gains yield of 6.93%. What is the stock's required return?The cost of preferred stock: a. is equal to the dividend yield b. is independent of the stock's price c. is equal to the YTM d. depends on dividend's growth rate
- What is the dividend yield if the annual dividend per share is $7.50 and the market price of a share of stock is $97?What is the required return on preferred stock, rPS, if the stock has an annual dividend of $9 and a price of $100?What is the cost of preferred stock if the annual dividend is $8.75, stock price is $12, and the flotation cost is $3? How is the cost of preferred stock impacted if the annual dividend increases to $9? What if the annual dividend decreases to $8.50?
- A stock's next expected dividend divided by the current stock price is the: current yield O total yield dividend yield O capital gains yield earnings yield 身1. (a) What are the two components of most stocks’ expected total return?(b) How does one calculate the capital gains yield and the dividend yield of a stock?(c) If D1 = RM3.00, P0 = RM50, and the expected P at t=1 is equal to RM52, what are the stock’s expected dividend yield, capital gains yield, and total return for the coming year?2. (a) Are stock prices affected more by long-term or short-term performance? Explain.(b) A stock is expected to pay a dividend of RM2 at the end of the year. The required rate of return is rs = 12%. What would the stock’s price be if the growth rate were 4%?What would the stock’s price be if the growth rate were 0%?3. If D0 = RM4.00, rs = 9%, and g = 5% for a constant growth stock, what are the stock’s expected dividend yield and capital gains yield for the coming year?4. (a) Explain what is meant by the terms “horizon (terminal) date” and “horizon (terminal) value”.(b)Suppose D0 = RM5.00 and rs = 10%. The expected growth rate from Year 0 to Year 1 (g0…Suppose a share of preferred stock sells for $50.25 and pays a dividend of $9.26 each period. What is the discount rate?
- (a) Compute the expected book value per share at time 1. (b) Compute the expected earnings per share of DTI at time 2. (c) Compute the expected value of the ex-dividend stock price at time 2. (d) Compute the expected value of the ex-dividend stock price at time 0. (e) Compute the expected return (over a single-period) on the stock of DTI at time 0 (in %).The dividend yield rate is equal to the dividends per share divided by the par value per share of common stock. Group of answer choices True FalseThe price to earnings ratio (P/E) is determined by: Question 6 options: 1) expected dividend payout ratio 2) estimated required return on the stock 3) expected growth rate of dividends 4) b and c only 5) all the above