Question: help please A. Caspian Sea Drinks needs to raise $87.00 million by issuing additional shares of stock. If the market estimates CSD will pay a
help please
A. Caspian Sea Drinks needs to raise $87.00 million by issuing additional shares of stock. If the market estimates CSD will pay a dividend of $2.12 next year, which will grow at 3.84% forever and the cost of equity to be 14.27%, then how many shares of stock must CSD sell? Round to nearest whole number
B. The risk-free rate is 2.15% and the market risk premium is 5.95%. A stock with a of 1.07 just paid a dividend of $1.72. The dividend is expected to grow at 24.31% for five years and then grow at 4.95% forever. What is the value of the stock? Round to 2 decimals
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