A corporation has just paid dividend $1.000. If the dividend can grow 20% for the first three years and 10% afterwards, the fair price of the stock using 15% discount rate is close to a. $28.000 b. $28.300 c. $28.700 d. $27.700 Please answer this question ASAP, if write and upload the paper calculation really take a time, then just write the right multiple choice, Thank you

A corporation has just paid dividend $1.000. If the dividend can grow 20% for the first three years and 10% afterwards, the fair price of the stock using 15% discount rate is close to a. $28.000 b. $28.300 c. $28.700 d. $27.700 Please answer this question ASAP, if write and upload the paper calculation really take a time, then just write the right multiple choice, Thank you

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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7. You invest $7,873 in stock and receive $102, $123, $121, and $155 in dividends over the following 4 years. At the end of the 4 years, you sell the stock for $11,900. What was the IRR on this investment? Review Only Click the icon to see the Worked Solution (Calculator Use). Click the icon to see the Worked Solution (Spreadsheet Use). The IRR on this investment is %. (Round to the nearest whole percent.)
Refer to Figure 2.8 and look at the listing for Hewlett Packard. Required: a. How many shares can you buy for $25,000? Note: Round down your answer to the nearest whole number. b. What would be your annual dividend income from those shares? Note: Round down your intermediate calculations to the nearest whole number. Do not leave the cell blank. Enter zero (0) if required. Round your answer to 2 decimal places. c. What must be Hewlett Packard's earnings per share? Note: Round your answer to 2 decimal places. d. What was the firm's closing price on the day before the listing? Note: Round your answer to 2 decimal places. a. Number of shares b. Annual dividend income c. Earnings per share d. Yesterday's closing price NAME Herbalife Nutrition SYMBOL CLOSE HLF Hershey HSY Hess Corporation HES Hewlett Packard HPE HD HMC HON Home Depot Honda Honneywell CHANGE 0051.45 -0.05 1.64 -3.52 0.25 2.17 0.13 3.69 177.57 80.39 14.01 319.22 32.54 227.22 VOLUME 0000434,355 658,253 2,143,509 9,448,992…
1. An investor purchased a stock one year ago for $58.00. It paid an annual cash dividend of $4.38 and is now worth $65.01. What total return did the investor earn? Would the investor have experienced a capital gain? Explain. Review Only Click the icon to see the Worked Solution. The investor would experience (1) in the amount of $ (Choose from the drop-down menu and round to the nearest cent.) The total return earned by the investor is $ (Round to nearest cent.) The total percentage return by the investor %. (Round to two decimal points.) (1) a capital gain a capital loss neither
You are evaluating a company's stock. The stock just paid a dividend of $1.75. Dividends are expected to grow at a constant rate of 5 percent for a long time into the future. The required rate of return (Rs) on the stock is 12 percent. What is the fair present value? Multiple Choice O O E $26.25 $22.50 $35.26 $50.25 Q Search $ 4 R is do F % 5 164- T 8 N 10 DII K M O O ENG D
The company has offered you a $5,000 bonus, which you may receive today, or 100 shares of the company's stock, which has a current stock price of $50 per share. Mathematically, what is the best choice? In terms of Excel. Why?
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Answer the following situation correctly and show your Solution. Show the formulas used too. a. You bought 50 shares of Jollibee Food Corp. at Php 25 per share . The amount of dividend paid during the first period is Php 1.10 per share . Since JFC performs well in the PSE , you expected that their dividend payments will grow rate of 3% . Using the dividend valuation principle with the required rate of 5% , Find the value one share of JFC "The value of JFC undervalued" b. Determine the amount of semi -annual coupon paid for 3% bond with a face value of Php 80,000 which matures after 15 years . Answers (I already provided the answers I just need the Solution): a. Jollibee is priced Php 25 per share in the market, then it is undervalued. b. Php 1,200
A MOVING toO anotner question will save this response. Question 15 You bought a stock for $39 and you received dividends of $4. The stock is now selling for $47. What is your total percentage return? (please answer in decimal numbers, ie., use 0.05 in stead of 5%) A Moving to another question will save this response. P Type here to search 9.
Answer the following situation correctly and show your Solution. Show the formulas used too. a. You bought 50 shares of Jollibee Food Corp. at Php 25 per share . The amount of dividend paid during the first period is Php 1.10 per share . Since JFC performs well in the PSE , you expected that their dividend payments will grow rate of 3% . Using the dividend valuation principle with the required rate of 5% , Find the value one share of JFC . Under your assumptions , is JFC undervalued or overvalued in the market ? b. Puregold Price Club , Inc. ( POOLD ) gave out Php 25 dividend per share for its common stock . The market value of the stock is Php 95 . Deterrnine the stock yield ratio . Answers (I already provided the answers I just need the Solution): a. Jollibee is priced Php 25 per share in the market, then it is undervalued. b. 27.17%