Data Window Help * 40% D Fri 5:24 PM Arnel Kohnic Q Excel File File Edit View Insert Format Tools . AutoSave OFF FEDE Home Insert Draw Page Layout Formulas Data Chapter 6 HW-1 Review View Tell me Share Comments Times New Roman v 10 VAI & Wrap Text General Insert v y . AY 4 Delete Posic LE 43 Av Merge & Center v Y Y Ideas Conditional Format Cell Formatting as Table Styles Sensitivity Format Sort Filter w Find & Select M37 . B C D E F G H. T J K L M N 0 P Q R S Given: 94 95 96 97 98 99 100 101 100 102 103 104 104 105 106 107 108 109 Definition The current, already paid (end of period 0) dividend The required rute of return on the firm's common stock The expected annual growth rate in dividends The expected upcoming (end of period 1) dividend The present value of the stock shure Notation: Inputs: D. $4.00 0.08 0.02 D ? Po ? ? Finance Concept: Po=D/(-) D.-D. (1+y) Numerical Solution: D-D, (11g) D = 4 (1+,02) D=4.08 110 TII 112 113 P.-D./r-8) P, = 4.08 / (.08-02) P, -4.08 /.06 P - $68 114 115 116 117 118 119 In Words: The Present Value of a stock share with a current dividend of S4.00 and a constant growth rute of 2% and a required return of 8%, is valued at $68 today. Stock + + 145% 1003 5 tv w T P Data Window Help * 39% D Fri 5:24 PM Arnel Kohnic Q Excel File Edit View Insert Format Tools .. AutoSave OFF ADES Home Insert Draw Page Layout Formulas Data Chapter 6 HW-1 Review View Tell me Share Comments Times New Roman v 10 VAI Wran Text General Insert v Y" 4 Delete Pecic Merge & Center v Y Y Ideas Conditional Format Cell Formatting as Table Styles Sensitivity Sort Filter Find & Select Format v M142 A C F L M N 0 R T X Y Z AB AD AE 1 Wat stock in one you expected dividend poste is 3S com equire a 15eur ou your inves...? T! Fill in the knena patir elle F124.126 Famula -1.5 120 Taukalla 121 122 123 124 125 126 12/ 12R 129 130 131 132 138 134 125 136 137 13B 139 B In cell to wite the found by clicking on the cells or by spius is ledus. Reunie () and 2 What would you po dry for lock stare rretreat dividend is $1. dividends reposal IDEA HIS : suirut relutini D D. (+) 2401 141 We fixa. Gad excu's dividan. D. Foneulat PDXB) 143 144 145 146 147 148 149 149 150 151 152 153 154 155 la wedala puies 157 AC 158 159 160 cy 161 TE 162 163 164 165 166 1671 Stock + 88% 1CC 5 v w T P Data Window Help * 40% D Fri 5:24 PM Arnel Kohnic Q Excel File File Edit View Insert Format Tools . AutoSave OFF FEDE Home Insert Draw Page Layout Formulas Data Chapter 6 HW-1 Review View Tell me Share Comments Times New Roman v 10 VAI & Wrap Text General Insert v y . AY 4 Delete Posic LE 43 Av Merge & Center v Y Y Ideas Conditional Format Cell Formatting as Table Styles Sensitivity Format Sort Filter w Find & Select M37 . B C D E F G H. T J K L M N 0 P Q R S Given: 94 95 96 97 98 99 100 101 100 102 103 104 104 105 106 107 108 109 Definition The current, already paid (end of period 0) dividend The required rute of return on the firm's common stock The expected annual growth rate in dividends The expected upcoming (end of period 1) dividend The present value of the stock shure Notation: Inputs: D. $4.00 0.08 0.02 D ? Po ? ? Finance Concept: Po=D/(-) D.-D. (1+y) Numerical Solution: D-D, (11g) D = 4 (1+,02) D=4.08 110 TII 112 113 P.-D./r-8) P, = 4.08 / (.08-02) P, -4.08 /.06 P - $68 114 115 116 117 118 119 In Words: The Present Value of a stock share with a current dividend of S4.00 and a constant growth rute of 2% and a required return of 8%, is valued at $68 today. Stock + + 145% 1003 5 tv w T P Data Window Help * 39% D Fri 5:24 PM Arnel Kohnic Q Excel File Edit View Insert Format Tools .. AutoSave OFF ADES Home Insert Draw Page Layout Formulas Data Chapter 6 HW-1 Review View Tell me Share Comments Times New Roman v 10 VAI Wran Text General Insert v Y" 4 Delete Pecic Merge & Center v Y Y Ideas Conditional Format Cell Formatting as Table Styles Sensitivity Sort Filter Find & Select Format v M142 A C F L M N 0 R T X Y Z AB AD AE 1 Wat stock in one you expected dividend poste is 3S com equire a 15eur ou your inves...? T! Fill in the knena patir elle F124.126 Famula -1.5 120 Taukalla 121 122 123 124 125 126 12/ 12R 129 130 131 132 138 134 125 136 137 13B 139 B In cell to wite the found by clicking on the cells or by spius is ledus. Reunie () and 2 What would you po dry for lock stare rretreat dividend is $1. dividends reposal IDEA HIS : suirut relutini D D. (+) 2401 141 We fixa. Gad excu's dividan. D. Foneulat PDXB) 143 144 145 146 147 148 149 149 150 151 152 153 154 155 la wedala puies 157 AC 158 159 160 cy 161 TE 162 163 164 165 166 1671 Stock + 88% 1CC 5 v w T P