GAZ COMPANY PAID DIVIDENDS LAST 4 YEARS AS FOLLOWS DIVIDENDS YEAR 2000 2.4 2.5 2 2 2001 2002 2003 THIS YEAR THE DIVIDENDS IS 4.5 AND WILL GROW AT A CONSTANT RATE WHAT IS THE PRICE OF THE STOCK IF THE REQUIRED RATE OF RETURN IS 0.36 percent what is the growth rate

YZ Inc. is experiencing rapid growth. Earnings and dividends are expected to grow at a rate of 17% during the next 2 years, at 15% the following year, and at a constant rate of 7% during Year 4 and thereafter. Its last dividend was $1.55, and its required rate of return is 12%. a. Calculate the value of the stock today. b. Calculate P1 and P2 (Prices for Year 1 and Year 2). c. Calculate the dividend and capital gains yields for Years 1, 2, and 3.

J Pinkman Motors paid a dividend of $ 3.75 last year. If J Pinkmans return on equity is 24% and its retention rate is 25%, what is the value of the common stock if investors require a 20% rate of return? a. $ 38.39 b. $18.39 c. $82.39 d. $ 28.39

This year, Hope Corporation paid a dividend of $0.50 per share.  The company expect dividends to increase by 4.5% each year forever.  If investors require a return of 12%, what is the value of a Hope Corporation share today? a. $6.67 b. $6.97 c. $4.17 d. $7.47 e. $0.50