snan Brothers is expected to pay a $2.80 ck's current value per share? Round your

Gamma Corporation just paid a dividend of $3.00 per share on its common stock. Dividends are expected to grow at an annual rate of 8% for next two years and then at 3% thereafter. If you want minimum return of 10%, what is the most that you would be willing to pay for a share of Gamma Corporation today? o earn a O A. $51.29 O B. $49.99 O C. $48.39 O D. $53.24

Abel, Inc. just paid a dividend of $3.0 per share and you think they will continue to pay $3.0 per year indefinitely.  If the appropriate discount rate is 11%, how much should the price of a share be?  (Answer to the nearest penny.)

The Collins Group, a leading producer of custom automobile accessories, has hired you to estimate the firm's weighted average cost of capital. The balance sheet and some other information are provided below. Assets $ 38,000,000 101,000,000 $139,000,000 Current assets Net plant, property, and equipment Total assets Liabilities and Equity Accounts payable $ 10,000,000 9,000,000 $ 19,000,000 40,000,000 $ 59,000,000 Accruals Current liabilities Long-term debt (40,000 bonds, S1,000 par value) Total liabilities Common stock (10,000,000 shares) Retained earnings Total shareholders' equity Total liabilities and shareholders' equity 30,000,000 _50,000,000 _80,000,000 $139,000,000 The stock is currently selling for $15.25 per share, and its noncallable $1,000 par value, 20-year, 7.25% bonds with semiannual payments are selling for $875.00. The beta is 1.25, the yield on a 6-month Treasury bill is 3.50%, and the yield on a 20-year Treasury bond is 5.50%. The required return on the stock market is…

Nnana Ltd currently retains 60% of its earnings which are R6 a share this year. It earns an ROE of 30%. Assuming a required rate of return of 22%, how much would you pay for Nnana Ltd based on the earning multiplier model? a. b. C. R78.92 R79.88 R82.88 d. R70.80

XYZ issued a series of preference share that currently pay dividend of $4.55 per share in perpetuity. What is the current market price of XYZ shares if required rate of return is 11% p.a.

XYZ company just paid an annual dividend of $3.00 per share on its common stock. Dividends are expected to grow at an annual rate of 5% hereafter. If investors require a rate of return of 10% on XYZ stock, what is the most they should be willing to pay today for a share of this stock? O A. $63.00 O B. $46.00 OC. $36.00 O D. )$53.00

Rylan Industries is expected to pay a dividend of $5.70 year for the next four years. If the current price of Rylan stock is $31.33, and Rylan's equity cost of capital is 15%, what price would you expect Rylan's stock to sell for at the end of the four years? O A. $26.33 B. $73.72 OC. $21.06 OD. $47.39

A

Novak Ltd. just paid a dividend of $4.00 per share, which is expected to grow at a constant rate of 6.5 percent indefinitely. The T-bill rate is 5.0 percent and the risk premium of Novak Ltd. is 8.5 percent. Calculate Novak's current share price. O $57.14 O $60.00 O $60.86 O $64.86 D