You buy a share of MMM Stock for $21.40. You expect it to pay dividends of $1.07, $1.1449 and $1.2250 in Years 1, 2, and 3 respectively, and you expect to sell it at a price of $26.22 at the end of 3 years. The dividend yield on this stock will be:   Select one: a. 7 percent b. 2 percent c. 5 percent d. 12 percent

You purchased a stock for $53.4 a share and resold it one year later. Your total return for the year was 10.62 percent and the dividend yield was 6.18 percent. At what price (in $) did you resell the stock? Answer to two decimals.

(Preferred stock valuation) selling for Pioneer's preferred stock is $34 in the market and pays a $4.10 annual dividend. a. If the market's required yield is 13 percent, what is the value of the stock for that investor?

Return on Common Stock You buy a share of The Ludwig Corporation stock for $21.00. You expect it to pay dividends of $1.09, $1.1772, and $1.2714 in Years 1, 2, and 3, respectively, and you expect to sell it at a price of $26.45 at the end of 3 years.   Calculate the growth rate in dividends. Round your answer to two decimal places.   % Calculate the expected dividend yield. Round your answer to two decimal places.   % Assuming that the calculated growth rate is expected to continue, you can add the dividend yield to the expected growth rate to obtain the expected total rate of return. What is this stock's expected total rate of return (assume market is in equilibrium with the required rate of return equal to the expected return)? Do not round intermediate calculations. Round your answer to two decimal places.   %

Central Staircase is offering preferred stock which is commonly referred to as 10-10 stock. This stock will pay an annual dividend of $10 a share starting 10 years from now. What is this stock worth to you today if you desire a 16 percent rate of return? O $14.48 O $16.43 $17.07 $17.84 O $18.21

An investor purchases a stock for $50 and over the next year, receives a $0.75 dividend. At the end of the year, the stock is priced at $53. In the second year, the stock pays a $1.00 dividend and at the end of the year the stock is priced at $51. a. Compute the dollar return for each year. b. Compute the percentage return for each year.

You are considering purchasing a share of preferred stock with the following characteristics:                                                 par value                      =          $100                                     dividend rate               =          12% per year                                     payment schedule       =          quarterly                                     maturity date              =                                              required rate of return =          6% per year                                     current market price    =          $135 per share   Based on this information, answer the following:   A.  What is the dollar amount of the quarterly dividend on this stock?   B.  Using the Discounted Cash Flow Method, what is the dollar value of this stock?   C.  Using the Discounted Cash Flow Method, what is the annual expected return for this stock?   D.  Based on your answer to part B, should you invest in the stock?  Why or why not?   E.…

Return on Common Stock You buy a share of The Ludwig Corporation stock for $18.40. You expect it to pay dividends of $1.08, $1.1491, and $1.2226 in Years 1, 2, and 3, respectively, and you expect to sell it at a price of $22.16 at the end of 3 years. a. Calculate the growth rate in dividends. Round your answer to two decimal places. % b. Calculate the expected dividend yield. Round your answer to two decimal places. % c. Assuming that the calculated growth rate is expected to continue, you can add the dividend yield to the expected growth rate to obtain the expected total rate of return. What is this stock's expected total rate of return? (Assume the market is in equilibrium with the required return equal to the expected return.) Do not round intermediate calculations. Round your answer to two decimal places. %

XYZ's stock price and dividend history are as follows: Year Beginning-of-Year Price 2019 2020 2021 2022 $88 108 78 88 Dividend Paid at Year-End $4 An investor buys three shares of XYZ at the beginning of 2019, buys another two shares at the beginning of 2020, sells one share at the beginning of 2021, and sells all four remaining shares at the beginning of 2022 Arithmetic average rate of return Geometric average rate of return Required: a. What are the arithmetic and geometric average time-weighted rates of return for the investor? (Round your year-by-year rates of return and final answers to 2 decimal places. Do not round other calculations.) Dollar-weighted rate of return 4 4 4 % % b. What is the dollar-weighted rate of return? (Hint Carefully prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2019, to January 1, 2022. If your calculator cannot calculate IRR, you will have to use trial and error or a spreadsheet program.) (Round your…

XYZ stock price and dividend history are as follows: Beginning-of-Year Dividend Paid at Year 2018 2019 Price $ 140 159 132 137 2020 2021 Year-End $ 4 4 4 4 An investor buys five shares of XYZ at the beginning of 2018, buys another three shares at the beginning of 2019, sells one share at the beginning of 2020, and sells all seven remaining shares at the beginning of 2021. Required: a. What are the arithmetic and geometric average time-weighted rates of return for the investor? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Arithmetic time-weighted average returns Geometric time-weighted average returns % % b-1. Prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2018, to January 1, 2021. (Negative amounts should be indicated by a minus sign.) Date Cash Flow 01/01/2018 01/01/2019 01/01/2020 01/01/2021