If its required return is 15 what is the stocks expected

Assignment Help Accounting Basics
Reference no: EM131103670

A stock is expected to pay a dividend of $3.00 at the end of the year (i.e., D1 = $3.00), and it should continue to grow at a constant rate of 10% a year. If its required return is 15%, what is the stock's expected price 1 years from today?

Round your answer to two decimal places. Do not round your intermediate calculations.

Reference no: EM131103670

Questions Cloud

Example of permanent supply shock : An example of a permanent supply shock is:
Derive the discrete heat equation in one-dimension : Math 054 Partial Differential Equations - HW Assignment 1. Derive the discrete heat equation in one-dimension. Show all work. Find δyδyu(x, y, z, t)
Property rights security in russian deprivatization : Property Rights Security in Russian Deprivatization. What impact will the prospect of deprivatization have on investment by managers of privatized firms? What effect will deprivatization have on foreign investment in Russia? Who gains from deprivatiz..
Closing over under applied overhead into cost of goods sold : At the end of the year, overhead applied was $3,272,961. Actual overhead was $3,742,718. Closing over/under applied overhead into cost of goods sold would cause net income to increase/decrease by?
If its required return is 15 what is the stocks expected : A stock is expected to pay a dividend of $3.00 at the end of the year (i.e., D1 = $3.00), and it should continue to grow at a constant rate of 10% a year. If its required return is 15%, what is the stock's expected price 1 years from today? Round you..
If the debt to total assets ratio is 20 percent what is the : The King Arts Company has a return on assets ratio of 5 percent. If the debt-to-total assets ratio is 20 percent, what is the return on equity? If the firm had no debt, what would the return-on-equity ratio be?
Grade on the curve : Two instructors announced that they "grade on the curve," that is, give a fixed percentage of each of the various letter grades to each of their classes. If a random student came to you and said that his object was to enroll in the class in which he ..
Report the lowest magnitude correlation in the inter : First, report the lowest magnitude correlation in the intercorrelation matrix, including degrees of freedom, correlation coefficient, p value, and effect size. Interpret the effect size. Specify whether or not to reject the null hypothesis for this c..
Tanf block grant should be increased : Write a research paper with good data and references about the topic, "TANF Block Grant Should Be Increased." Please note that TANF stands for Temporary Assistance for Needy Families.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Indicate whether it would be reported on the balance sheet

For each of the following, indicate whether it would be reported on the balance sheet (B/S), reported on the income statement (I/S), or not shown in the company's financial statements (Not). a. Sales Revenue b. Inventory (held on consignment) c. Cost..

  What condition will make labor efficiency variance to be

what condition will make labor efficiency variance to be unfavorable? who is responsible for labor efficiency variance

  The total contribution margin for the month

The total contribution margin for the month under variable costing is:

  A review of the ledger of terrell company at december 31

a review of the ledger of terrell company at december 31 2012produces these data pertaining to the preparation of

  Reports for external-reporting purposes

In the United States, about one in every four companies uses variable costing for internal reporting purposes. These companies must make adjustments to these reports for external-reporting purposes. Explain.

  How would you code the variables

a) How would you code the variables? (How many dummy variables do you need? What values would they have?) b) Why does the intern's suggestion make sense?

  What is the company break even point

If the average sales price per sprinkler unit did not increase when the company began mass-producing the special-order sprinkler, what would be the effect on the company?

  Process-spinning department

On October 1, FloorMate Carpet Company had the following inventories: Finished Goods $5,600 Work in Process-Spinning Department 1,500 Work in Process-Tufting Department 2,300 Materials 4,800

  The balance in accounts receivable at the beginning of 2011

1.the balance in accounts receivable at the beginning of 2011 was 600. during 2011 3200 of credit sales were recorded.

  On november 7 1997 the black and michael blue companys

on november 7 1997 the black and michael blue companys board of directors declared cash dividends of 75000. dividends

  Doherty inc is authorized to issue 1000000 shares of 1 par

doherty inc. is authorized to issue 1000000 shares of 1 par value common stock and 400000 shares of 100 par preferred

  Quality control laboratory for testing

A batch of 200 bulbs were sent to a quality control laboratory for testing: 100 Type 1, 75 Type 2, and 25 Type 3. What is the probability of ?nding a defective bulb?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd