Suppose that you own 2,700 shares of Nocash Corp. and the company is about to pay a 15% stock dividend. The stock currently sells at $110 per share.What will be the number of shares that you hold after the stock dividend is paid?
Q: Consider a mutual fund with $200 million in assets at the start of the year and with 10 million…
A: It is the case where a rate of return for the investor is required to be calculated. It considers…
Q: Over the past 3 years an investment returned 0.19, -0.08, and 0.07. What is the variance of returns?
A: In the given case, the investment returns of the past 3 years are given. So, number of years is…
Q: If a company has an enterprise value of $1500 million, and equity value of $1200 million. Which of…
A: Enterprise value = Equity + Debt - Cash & cash equivalent.Enterprise value = $1,500 millionDebt…
Q: No chatgpt answer Assume a firm has a cash cycle of 70 days and an operating cycle of 121 days. What…
A: Cash Cycle = 70 daysOperating cycle = 121 daysPayables turnover =?
Q: Weismann Co. issued 5-year bonds a year ago at a coupon rate of 9 percent. The bonds make semiannual…
A: A Bond represents a debt owed typically by the government or corporation to investors. Bond Price…
Q: Your firm is contemplating the purchase of a new $500,000 computer-based order entry system. The…
A: IRR is also known as Internal rate of Return. It is a capital budgeting technique which helps in…
Q: A forklift will last for only 4 more years. It costs $6,500 a year to maintain. For $20,000 you can…
A: a-1)For Annuity payment we know the formulaP (Yearly Annuity) r (Interest rate) = 0.04n (Term) =…
Q: Mustafa's portfolio consists of an annuity with monthly payments of $1,000 each month for five years…
A: 1. Annuity Component: - Monthly payments: $1,000 - Duration: 5 years - Frequency: Monthly (12…
Q: Rock Industries has hired the investment banking firm to help for going public. Rock and investment…
A: > Given data:>Value pre IPO = $75 million> Shares existing = 5 million> Shares to be…
Q: To calculate the RATFCF (Real After - Tax Free Cash Flow) associated with the purchase of the new…
A: The marginal tax rate signifies the proportion of tax imposed on every extra dollar of income…
Q: Ryan Neal bought 1,400 shares of Ford at $15.82 per share. Assume a commission of 3% of the purchase…
A: Gain or loss on purchase or sale of investment is that amount which is earned / loss by the investor…
Q: You purchase a bond with a coupon rate of 5.9 percent and a quoted price of $1,053. If the next…
A: Given:Invoice price = $1,053Par value = $1,000Coupon rate = 5.9%
Q: Slush Corporation has two bonds outstanding, each with a face value of $3.4 million. Bond A is…
A: Bond A Unsecured debt= Face value - Amount of Head office building. =…
Q: Calculate the discounted payback of a $200,000 project with annual cash flows of $50,000 per year…
A: The cost of the project is $200,000.The annual cash flow is $50,000 and the maturity of the project…
Q: Consider the following multifactor (APT) model of security returns for a particular stock. Factor…
A: Expected return = RF+B1*(R1-RF)+B2*(R2-RF)+B3*(R3-RF)RF= Risk Free Rate(R-RF) =Risk Premium.B = Beta
Q: An asset has an average return of 10.79 percent and a standard deviation of 22.71 percent. What is…
A: Maximum rate of return depends on the probability of event and standard deviation and mean expected…
Q: A new project requires an initial investment of $12,000 today and is expected to generate cash flows…
A: Internal rate of return refers to the method of capital budgeting which is the minimum return that…
Q: $50,000 in stock A that has a beta of 1.50, and $25,000 in stock B
A: Portfolio investment:Portfolio investment refers to the process of investing in financial assets,…
Q: If you borrow $30,000 from a bank for 7 years at an interest rate of 8.5%, how much will you owe in…
A: A loan refers to a contract between two parties where money is forwarded from one party to the other…
Q: Sector Basic Materials Consumer Cyclicals Financials Real Estate Communication Servic Energy…
A: Technology stocks have created an overall positive returns as we see in the data table There is a…
Q: On January 1, 2024, LLB Industries borrowed $228,000 from Trust Bank by issuing a two-year, 10%…
A: “Since you have posted multiple questions with multiple sub parts, we will provide the solution only…
Q: Compute the WACC of a firm that currently has $1 million in debt and $2 million in equity and $1…
A: Weighted average cost of capital WACC refers to the overall cost of financing the source of capital…
Q: ABC XYZ 11.40 11.40 b. Which stock has greater dispersion around the mean return? ABC .XYZ c.…
A: Arithmetic average is the simple mean and can be found as the sum of all and divided by total…
Q: 5. Eagle Products' EBIT is $680, its tax rate is 30%, depreciation is $42, capital expenditures are…
A: Free Cash FlowThe cash left over after a business has paid its operating costs and maintained its…
Q: You have gathered the following vehicle costs: Vehicle Costs Annual depreciation Current year's loan…
A: Variable Cost: Variable costs are expenses that vary in direct proportion to the level of activity…
Q: You want your portfolio beta to be 1.30. Currently, your portfolio consists of $100 invested in…
A: Total investment = Investment in Stock A + Investment in Stock B + (Investment in Stock C and risk…
Q: You buy a 12 percent, 15-year, $1,000 par value floating rate bond in 1999. By the year 2004, rates…
A: Bond refers to the financial instruments issued by the government or financial institutions for…
Q: The 6-month interest rate in the US is 12.25% p.a. The 6-month interest rate in Canada is 15.25%…
A: The objective of the question is to determine if the interest rates and forward rate are in…
Q: Earnings before interest and taxes are positive above the operating breakeven point, and a loss…
A: At the Operating breakeven point, the firm has nil operating profit or Earnings before interest and…
Q: Bond value and time-Constant required returns Pecos Manufacturing has just issued a 15-year, 11%…
A: Bonds are debt instruments issued by companies.The issuing company has to pay periodic interest or…
Q: Scenario 2: Crotekch Power Sdn. Bhd. installed a diesel-electric unit costing RM50,000 at a remote…
A: Capital budgeting is a way to evaluate profitability of the new projects or investment by using…
Q: Bond valuation—Quarterly interest??Calculate the value of a ?$5000?-par-value bond paying quarterly…
A: 1) Here coupon rate is quarterly therefore interest here will be $5000*3% =$150, interest rate is…
Q: Shares of Sweetums Candy Company, makers of the famous NutriYum Bars, are trading for $30.46. You…
A: Option = call optionStrike price(X) = $28.67Current trading price(P0) = $30.46Call option premium =…
Q: Robert had an accident and injured a driver and her car. He has auto insurance with the minimum…
A: InsuranceInsurance is a type of financial security or protection against certain casualties or…
Q: What drives the basic economies of the airline industry? The refining industry?2. How is Delta…
A: “Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first…
Q: You financed a treadmill at a local store. The department store uses a third party creditor for all…
A: A financing agreement is a legally enforceable contract between two entities, wherein one party…
Q: The highest current CMHC premium is a. 4.00%. b. 4.50%. c. 5.50%. d. 5.00%.
A: In Canada, mortgage insurance is provided by the government-backed Canada Mortgage and Housing…
Q: A cannery is considering installing an automatic case-sealing machine to replace current hand…
A: Initial Investment = $5000Monthly Savings = $500Number of Months in a year = 4 (for the 4 months…
Q: Compute the NPV for Project M if the appropriate cost of capital is 8 percent. (Negative amount…
A: Net present value refers to the method of capital budgeting used for evaluating the viability of the…
Q: You bought some shares of MJK at $200 per share. 8 years later, you sell these shares for $750.50…
A: The Effective Annual Rate (EAR), which is also referred to as the Annual Equivalent Rate (AER) or…
Q: Corporate Finance Application Complete both parts of this assignment. You will work on some of these…
A: The objective of the question is to perform a ratio analysis for a chosen company and TechnoTCL,…
Q: Heathrow Sparkling is considering a bond investment in LS7 Airlines. The $1,000 par value bonds have…
A: Bond price:A bond price refers to the cost of purchasing a bond, which is a financial instrument…
Q: ider a simple, homogeneous monocentric city with a circular shape. If the location rent premium at…
A: The rent factor is maximum at the centre in a homogeneous mono centric circular city arrangement due…
Q: What is the Net Present Value of the following cash flow stream? Year Cash Flow 0 - $1,145 1 $459 2…
A: Net Present value (NPV) = Present value of positive cash flows - Present value of negative cash…
Q: Scenario 1: Four years ago, The Kresser Sdn. Bhd. purchased an Industrial Shredder Machine. Because…
A: Assumptions:1. The cost of capital or the minimum attractive rate of return (MARR) is 15% before…
Q: Income Method. Nancy is a widow with two teenage children. Nancy's gross income is $3,800 per month,…
A: Given that :Gross monthly income- $3800Taxes- 17%Life insurance amount = 8times of annual disposable…
Q: Graff, Incorporated, has sales of $55,000, costs of $25,000, depreciation expense of $2,750, and…
A: Operating cash flow is the amount of cash flow the company is able to generate from operations.…
Q: 23 What is the value of RM750 invested at 7.5% compounded every three months for 4 years? Type your…
A: We will find the value using the future value formula as follows:First, we will convert the annual…
Q: An annuity pays $14 per year for 45 years. What is the future value (FV) of this annuity at the end…
A: > Given:> Rate of interest per annum = 9%> Amount of each deposit = 14> Number of years…
Q: Suppose that a 10-year bond pays semiannual coupons that increase by 4 dollars with each coupon. If…
A: Maturity period: 10Number of payments per year: 2First coupon: 25Growth in dollars per coupon:…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 1 images
- Suppose that you own 1,800 shares of Nocash Corp. and the company is about to pay a 25% stock dividend. The stock currently sells at $115 per share. a. What will be the number of shares that you hold after the stock dividend is paid? (Do not round intermediate calculations.) b. What will be the total value of your equity position after the stock dividend is paid? (Do not round intermediate calculations.) c. What will be the number of shares that you hold if the firm splits five-for-four instead of paying the stock dividend?Suppose that you own 3,400 shares of Nocash Corp. and the company is about to pay a 25% stock dividend. The stock currently sells at $125 per share. a. What will be the number of shares that you hold after the stock dividend is paid? (Do not round intermediate calculations.) Number of shares b. What will be the total value of your equity position after the stock dividend is paid? (Do not round intermediate calculations.) Total value c. What will be the number of shares that you hold if the firm splits five-for-four instead of paying the stock dividend? (Do not round intermediate calculations.) Number of shares heldAssume that you own 3,600 shares of $10 par value common stock and the company has a 4 for 1 stock split when the market price share is $68.00. How many shares of common stock will you own after the stock split? What will probably happen to the market price per share of the stock? What will probably happen to the per value per share of the stock?
- If you own 11,000 shares of stock of Nike and it pays a dividend of $0.28 per share, then what is the total dividend you will receive? The total dividend that you will receive is $ (Round to the nearest dollar.)A stock pays an annual dividend of $1.14 per share. Calculate the dividends paid to a shareholder who has 285 shares of the company's stock. Calculate the dividends paid to a shareholder who has 900 shares of a stock that is paying an annual dividend of $0.57 per share. (Round your answer to two decimal places.) Find the dividend yield for a stock that pays an annual dividend of $1.29 per share and has a current price of $49.475. Round to the nearest hundredth of a percent. The Blackburn Computer Company has declared an annual dividend of $0.70 per share. The stock is trading at $30 per share. Find the dividend yield. (Round your answer to two decimal places.) 5.) Use the given partial stock table. Round dollar amounts to the nearest cent when necessary. Consider the following for Boeing (BA). (a) What is the difference between the highest and lowest prices paid for this stock during the last 52 weeks? (b) Suppose that you own 700 shares of this stock. What dividend do you receive…Refer to Figure and look at the listing for Hewlett Packard Enterprise.a. How many shares could you buy for $10,000?b. What would be your annual dividend income from those shares? c. What must be Hewlett Packard Enterprise's earnings per share? d. What was the firm's closing price on the day before the listing?
- Your corporation currently has 200,000 shares of stock outstanding that sells for $50.00 per share. What will be the amount of shares outstanding and the share price after the stock dividend. Please show your calculations in the space provided.Your corporation has declared a 10% stock dividend.West Tool Company is expected to pay a dividend of $1.0 in Year 1 and $1.3 in Year 2. Analysts expect the price of West Tool Company shares to be $18 two years from now. What is the intrinsic value of West Tool Company stock if the market capitalization rate of the company is 12% ? Round your answer to two decimal places and enter without the dollar sign.You have just purchased a share of stock for $ 21.41. The company is expected to pay a dividend of $0.72 per share in exactly one year. If you want to earn a 9.4% return on your investment, what price do you need if you expect to sell the share immediately after it pays the dividend?
- Your corporation has declared a cash dividend of $5.00 per share. Before the cash dividend the stock was selling for $60.00 per share. When the stock goes ex-dividend what will the price per share be? Please show your calculations in the space provided.What would the ex-dividend price per share be?Suppose you own 2,000 common shares of Laurence Incorporated. The EPSis $10.00, the DPS is $3.00, and the stock sells for $80 per share. Laurenceannounces a 2-for-1 split. Immediately after the split, how many shareswill you have, what will the adjusted EPS and DPS be, and what would youexpect the stock price to be?The Moreau Corporation is paying an annual dividend of $0.65 per share. If the price of a share of the stock is $81.25, what is the dividend yield on the stock?