A firm's current market value of equity is $20 million. It has one million shares outstanding. The firm's equity multiplier is one, and it had sales of $50 million last year. Its profit margin was 5%. What is the firm's implied price- earnings ratio? a. 40 b. 5 c. 16 d. 20 e. 8

Financial Accounting

2

Suppose that your company is expected to pay a dividend of $1.50 per share next year. The growth in dividend has been steady at 5.1% p.a. and the market expects this growth to continue. If the share is priced at $25 per share, is a 4% cost of equity tenable?

A company has a dividend payout ratio give me answer

What should be the price earnings ratio of this company on these general accounting question?

The Financial Accounting

A firm is expected to pay a dividend of $3.90 one year from now and $4.25 two years from now and $4.30 three years from now. The firm's stock price is expected to be $110.50 in four years. What is the firm's stock value using a 13.78% required return? ○ $75.56 $201.47 $73.36 ○ $65.93

What is the cost of equity on these financial accounting question?

You forecast the company A’s future earning is going to be $5.34 per share. The current market price is $55. What the market forward PE ratio? The estimated growth rate is 10%, what is the PEG ratio based on your estimate of growth rate? The industry average has a P/E ratio of 14 and growth rate of 12%, what does it mean for A’s stock price?