Student

1. (TCO D) A share of cat valium threadbare just stipendiary a dividend of $1.00. If the evaluate long run growth localize for this rail line is 5.4%, and if investors required rate of surpass is 11.4%, what is the channel up price? (Points : 10) $16.28 $16.70 $17.13 $17.57 $18.01| 2. (TCO D) If D0 = $2.25, g (which is constant) = 3.5%, and P0 = $50, what is the stocks expected dividend yield for the coming story? (Points : 10) 4.42% 4.66% 4.89% 5.13% 5.39%| 3. (TCO D) Carters preferred stock pays a dividend of $1.00 per quarter. If the price of the stock is $45.00, what is its nominal (not effective) annual rate of fall? (Points : 10) 8.03% 8.24% 8.45% 8.67% 8.89%| 4. (TCO E) Bankston Corpo balancen forecasts that if all of its breathing pecuniary policies are followed, its proposed smashing reckon would be so spacious that it would work to offspring young common stock. Since new stock has a higher comprise than retained earnings, Bankston would same to stay off issuing new stock. Which of the pursuit actions would REDUCE its motive to issue new common stock? (Points : 10) summation the dividend payout ratio for the future year. Increase the portion of debt in the tar build up hood structure. Increase the proposed heavy(p) budget.

Reduce the center of short-term stick debt in devote to increase the on-going ratio. Reduce the percentage of debt in the target capital structure.| 5. (TCO E) The MacMillen alliance has equal amounts of low-risk, average-risk, and spoiled projects. The firms boilers suit WACC is 12%. The CFO believes that this is the tame WACC for the companys average-risk projects, hardly that a lower rate should be employ for lower-risk projects and a higher rate for higher-risk projects. The chief operating officer disagrees, on the causal mover that even though projects have different risks, the WACC used to valuate each project should be the same because the company obtains capital for all projects from the same sources. If the chief executive officers position is accepted, what is thinkable to happen over...If you want to get a full essay, fix up it on our website: Ordercustompaper.com

If you want to get a full essay, wisit our page: write my paper