Question: Compute K e and K n under the following circumstances: a. D 1 = $4.60, P 0 = $60, g = 6%, F = $3.00.

Compute Ke and Kn under the following circumstances:

a.

D1 = $4.60, P0 = $60, g = 6%, F = $3.00. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Ke %
Kn %

b.

D1 = $.25, P0 = $20, g = 9%, F = $1.50. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Ke %
Kn %

c.

E1 (earnings at the end of period one) = $6, payout ratio equals 30 percent, P0 = $24, g = 4.5%, F = $1.60. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Ke %
Kn %

d.

D0 (dividend at the beginning of the first period) = $3, growth rate for dividends and earnings (g) = 8%, P0 = $50, F = $3. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Ke %
Kn %

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