A firm has 80,000 shares of stock outstanding with a market price of $25 per share. If net income for the year is $200,000 and the retention ratio is 70%, what is the dividend yield on the firm's stock? 2% 3% 4% O 5% 6%

Easttown Productions just paid an annual dividend of $7.85 per share. Future dividends are expected to increase by 2 percent annually. What is one share of this stock worth at a required rate of return of 12.25 percent?   A. $78.12 B. $100.88 C. $95.02 D. $76.59 E. $64.08

Assume that you are on the financial staff of Vanderheiden Inc., and you have collected the following data: The yield on the company’s outstanding bonds is 7.75%, its tax rate is 25%, the next expected dividend is $0.65 a share, the dividend is expected to grow at a constant rate of 6.00% a year, the price of the stock is $14.00 per share, the flotation cost for selling new shares is F = 10%, and the target capital structure is 45% debt and 55% common equity. What is the firm's WACC, assuming it must issue new stock to finance its capital budget?   9.96%   7.98%   10.12%   8.75%   8.23%

The Drogon Company just issued a dividend of $2.36 per share on its common stock. The company is expected to maintain a constant 5 percent growth rate in its dividends indefinitely. If the stock sells for $30 a share, what is the company's cost of equity?    Multiple Choice   8.43%   13.26%   13.92%   12.6%   12.87%

Suppose company Becker inc. has just paid a quarterly dividend of $2 per share, as it has for the previous 3 quarters. The management plans on raising this dividend by 3.6% per year indefinitely. If the required return on this stock is 10%, what is the current share price?

Falon Corporation is issuing new common stock at a market price of $28. Dividends last year were $1.30 and are expected to grow at an annual rate of 7 percent forever. What is Falon's cost of common equity capital? a. 12.97% b. 11.97% c.  7.97% d. 15.79%

The current dividends paid on a common stock is $1/share. The return on common equity is 15%. Estimate the stock price when the growth rate is: 0% 5%