Question: PLEASE ANSWER ALL THE QUESTIONS!!!!! 1. (Common stockholder expected return) Ziercher executives anticipate a growth rate of 12 percent for the company's common stock. The

PLEASE ANSWER ALL THE QUESTIONS!!!!!

1. (Common stockholder expected return) Ziercher executives anticipate a growth rate of 12 percent for the company's common stock. The stock is currently selling for $47.05 per share and pays an end-of-year dividend of $1.26. What is your expected rate of return if you purchase the stock for its current market price of $47.05?

2. (Yield to maturity) Assume the market price of a 5-year bond for Margaret Inc. is $1,150, and it has a par value of $1,000. The bond has an annual interest rate of 9% that is paid semiannually. What is the yield to maturity of the bond?

3. (Bondholders' expected rate of return) You own a bond that has a par value of $1,000 and matures in 17 years. It pays an annual coupon rate of 11 percent. The bond currently sells for $1,150. What is the bond's expected rate of return?

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