Problem $7-26$ Valuing Businesses $($LO$3)$ the frm$.$

a$.$ What wal be Shan$-$Up's ratio of market value is book value?

Nefe: De net reund imermediate calculations.

Mekeh whiva runs Nofer De not round intermediate saliculations. Round your arower tie $1$ decimal place.

Meral tollowion tabo

Problem $7-27$ Nonconstant Growth $($LO$2)$

You expect a share of tock $10$ pary dividends of $$1$$$0,$$$1\mathrm{.}65,$ and $$1\mathrm{.}90$ in each of the neat $3$ years. Wou beeleve the stock will sell for $$2800$ at the end of the third year.

a$.$ What is the stock price it the dicount rate for the stock is $10N?$

Note: De net round intermedigte calculatijns. Aound your answer ho $2$ decimal places.

Sock price

b$.$ What is the devidend yeld for year it

tivilely reat

C$.$ What wai bee the dividend yoid at the stant of Fear $27$

Notes Des net reund intermediate calouletiona. Enter pour anower as a percent rounded $102$ decimal pleces.

Problem $7\mathrm{.}40$ Growth Opportunities $($LO$2)$ earnings this your are $$3$ per thare. Complete the following liblie. declimal phaces.

$\backslash$table$[[,$Hivetara Batip,Orvwn Rate,Bueck Priet,Pre Natie$],[4.,8,$N$,,],[$b$.,$DSE,N$,,],[4.,,$N$,,]]$

Problem $7\mathrm{.}27$ Nonconstant Growth $($LO$2)$

You expect a share of stock to pay dividends of $5150\mathrm{.}5165,$ and $5190$ in each of the neat $3$ years. Wju believe the stock wall sell for $523\mathrm{.}00$ at the end of the thind yese.

a$.$ What is the stock price if the discount rate for the stock is $\frac{101}{?}?$ Note: De not round intermediate calculations. Aound your anower to $2$ decimal places.

Stork price

b$.$ What is the doviend ywid for year $1?$

Note: Do net round intermediate calculations. Imer your answer as a perceent reunded lo $2$ decimal places.

Devidered reled

$2$ BC

$a$

c$.$ What we be the avidend yledd at the stal of year at

Aefer Dop not mound intermediate calculetiona. Enter your ansmer as a pereent rounded io a decimal places.

Deviend plete