An all-equity firm had a dividend expense of $45,000 last year.  The market value of the firmis $800,000 and the dividend is expected to increase at 7% each year.  What is the cost of the equity for the firm?

Enrich, Inc., has expected earnings of $4 per share for next year. The firm's ROE is 16%, and its earnings retention ratio is 60%. If the firm's market capitalization rate is 12%, what is the present value of its growth opportunities (PVGO)? $28.88 $38.25 O $33.34 $66.67

Ocasa Ltd. Just paid a dividend of $6.00 per share next year, and that the dividend will grow at the same rate as its profits. High profits are expected during this period, with the first three years of growth estimated to be 13%, 11% and 10% respectively, before returning to constant long+ term industry growth rate of 6% per year. The firm’s cost of equity is 15%. i. What is the firm’s share price today (P0)? ii. What is the expected share price next year (P1)? iii. Calculate the dividend yield for year 2. iv. Calculate the current capital gains yield (year 1).

Arts and Crafts, Inc., will pay a dividend of $ 3.97 per share in 1 year. It sells at $ 90.00 a share, and has an expected return of 14.24 percent. What must be the expected growth rate of the company's dividends?

Terrell Enterprises recently paid a dividend, D0 of $1.50. It expects to have nonconstant growth of 25% for 2 years followed by a constant rate of 6% thereafter. The firms required return is 12%. What is the firms intrinsic value today?

NHL Inc.’s current return on equity (ROE) is 20%, its current book equity per share is $50, and it pays out half of its earnings as dividends. Both the ROE and payout ratio will stay constant for the next two years. After year 2, competition will force ROE down to 8%, and NHL will increase its payout ratio to 75%. The cost of capital is 10%. What is NHL’s stock price today?

You anticipate that Liebendauer Enterprises (ticker: LBE) will have earnings per share of $3 this year. Furthermore, you expect that they will pay out $2.25 of these earnings to shareholders in the form of a dividend at the end of this year. You estimate that LBE's return on new investments is 16% and their equity cost of capital is 13%. Your expected growth rate for LBE's dividends will be closest to: OA. 4% OB. 3.3% OC. 1.6% OD. 2.4%

Your firm has an ROE of 12.1%​, a payout ratio of 27%​, $594,200 of​ stockholders' equity, and $386,100 of debt. If you grow at your sustainable growth rate this​ year, how much additional debt will you need to​ issue?

An all-equity-financed firm plans to grow at an annual rate of at least 25%. Its return on equity is 39%. What is the maximum possible dividend payout rate the firm can maintain without resorting to additional equity issues?

The Clipper Sailboat Company is expected to earn $5 per share next year. The company will have a return on equity of 16 percent and the company will grow 4 percent in the future. The company has a cost of equity of 13 percent. Given that information, answer the following questions. a. What is the value of the company's stock? Do not round intermediate calculations. Round your answer to the nearest cent. $ b. What is the present value of the growth opportunity? Do not round intermediate calculations. Round your answer to the nearest cent. $ c. Assume that the growth rate is only 3 percent. What would the appropriate P/E multiple be for this stock? Do not round intermediate calculations. Round your answer to two decimal places. x