If the current dividend (D₀) is $2 is expected to grow at 8% per year then what is the expected dividend per share is 3 years?

$6.48

$2.52

$1.26

$2.16

Hazel Corporation issued perpetual preferred stock with a par value of $100. The stock pays a a 8% annual dividend. If the required rate of return for preferred stock is 11% then what is the stocks value?

$981.82

$266.67

$72.73

$137.50

Question 10

0 / 1 pts

KTS corporation has $4 million in debt and 2 million shares outstanding. Assume the present value of all future FCF is $10 million. What is the price per share of stock?

$3

$5

$2

$10

Jordan Mining ore reserves are being depleted, its sales are falling, and its costs are rising. The companys earnings and dividends are declining at the constant rate of 3% per year. If the current dividend (D₀) is $2 and the required rate of return is 12%, what is the value of Jordans stock?

$11.73

$13.33

$12.93

$22.89

Soul Enterprises recently paid a dividend, D₀, of $1. It expects to have non constant growth of 10% for 3 years followed by a constant rate of 6% thereafter. The firms required rate of return is 11%. What is the intrinsic value of the stock today?

$28.22

$23.58

$26.62

$1.33

Soul Enterprises recently paid a dividend, D₀, of $1. It expects to have non constant growth of 10% for 3 years followed by a constant rate of 6% thereafter. The firms required rate of return is 11%. What is the horizon value at the end of year 3?

$28.22

$1.33

$23.58

$26.62