QUESTION

The ABC Co. has $1000 face value stock unsettled with a market price of $937.6. The stock pays interest annually matures in 9 years as well as has a yield to maturity of 10.7 percent. What is the current yield?

ABC is studying a project that will cost $1,431.The project will produce cash flows $210 at the end of each year for the first two years and $772 at the end of each year for the next two years. What is the profitability index? Suppose interest rate is 4%.

ABC Corp. merely paid a dividend of $2.4 per share at the end of the year. The stock has an essential rate of return is 18%. The dividend is expected to grow at 6.9%. What is dividend at time = 8? (Solve for D8?)

Uptown Insurance provides an annuity due with semi-annual payments for 19 years at 4.9 percent interest. The annuity costs $176,239 today. What is the amount of all annuity payment?

ABC's last dividend paid was $4.4 its obligatory return is 13%, its growth rate is 6% as well as its growth rate is expected to be constant in the future. What is ABC's expected stock price in 19 years?

Presume an investment offers to double your money in 39 years. What annual rate of return are you being obtainable if interest is compounded semi-annually?

Presume the real rate is 9.83% and the inflation rate is 4.65%. Explain for the nominal rate.

The common stock of ABC Industries is valued at $49 a share. The company rises their dividend by 3.1 percent annually as well as expects their next dividend to be $1.84. What is the essential rate of return on this stock?

How many years will it take to multiply (that is 4 times) your money at 9% compounded quarterly?

Presume that today's stock price is $49.8. If the required rate on equity is 18.6% as well as the growth rate is 7.9%, calculate the expected dividend (that is compute D1)

Given the following cash flows compute the payback period

Year
0
1
2
3
4
CF
-921
368
253
291
784