What are the four steps of capital budgeting analysis

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1. Draw a simple balance sheet that shows an insolvent bank

2. What are the four steps of capital budgeting analysis?

3. A company's current dividend per share was $2 per share. The company expects that the dividends will grow at 10% for the next three years. After that the dividends will increase at 3%. Its stock beta is 1.2. Currently, the expected market return is 10%, and the risk-free rate is 5%. What is the present value of the common stock?

Reference no: EM132017969

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