Question: Lesson: Stock and Bonds Application (Creativity) A Php300-per-share dividend was paid by a certain stock. The divided is estimated to grow at 4.75% per year

Lesson: Stock and Bonds

Application (Creativity)

  1. A Php300-per-share dividend was paid by a certain stock. The divided is estimated to grow at 4.75% per year until further notice. What is the price of the stock today if the required return is 8.75%?

2. Referring to the previous problem, what will be the stock price 1 year from today?

3.,You purchase a Php1,000 coupon bond. The coupon rate on the bond is 4%. What is the coupon payment?

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