What is the post-stock dividend yield

Assignment Help Financial Management
Reference no: EM131043908

Saturn Corporation has just declared a 25 percent stock dividend. The stock was selling for $18 before the stock dividend. The stock will pay a quarterly cash dividend of 8 cents per share after the stock dividend. If the 8-cent dividend is maintained over the next year what is the post-stock dividend yield?

Reference no: EM131043908

Questions Cloud

Strategic philanthropy for organizations : Research a Fortune 500 company, but do not use the same company you used for the Week 1 "Social Responsibility" assignment. Examine the company's strategic philanthropy and how it impacts profits, brand, image and turnover, as well as society as a..
What is the american mindset about families : What is the American mindset about families? How are families defined in American society, and how does this influence what social workers do with families?
Annual premium for an insurance policy : You own a house worth $400,000 that is located on a river. If the river floods moderately, the house will be completely destroyed. This happens about once every 50 years. If you build a seawall, the river would have to flood heavily to destroy your h..
What is central planning and how it works : Western commentators become highly appreciating of the Japanese economic model until they realised it's no longer working well the things which made it strong in fact now explain why it's a weak discuss the statement setting out points of referen..
What is the post-stock dividend yield : Saturn Corporation has just declared a 25 percent stock dividend. The stock was selling for $18 before the stock dividend. The stock will pay a quarterly cash dividend of 8 cents per share after the stock dividend. If the 8-cent dividend is maintaine..
Inverse relationship between bond prices and interest rates : Jason Argo, 35, works for Inter-Mac Transportation Corp. His normal job of loading trucks paid $12.00 per hour. While working, he suffered a back injury and was declared 50 percent disabled. Discuss the inverse relationship between bond prices and in..
Solve the given equation : Solve the given equation. (Enter your answers as a comma-separated list. Let k be any integer. Round terms to three decimal places where appropriate. If there is no solution, enter NO SOLUTION.)
Find the mtbf of the overall system : Assingment 2 independent subsystems in parallel configuration. Each subsystem has different failure rates, any Exponential reliability functions

Reviews

Write a Review

Financial Management Questions & Answers

  After tax cost of capital to walgreen for bonds

The Walgreen Corporation is contemplating a new investment that it plans to finance using one-third debt. The firm can sell new $1000 par value bonds with a 15 year maturity at a price of $950 that carries a coupon interest rate of 12.9 percent that ..

  What is the present value of a zero-coupon bond

What is the present value of a zero-coupon bond with five years maturity, a nominal value of $1,000 and a discount rate of 6%?

  A holder would not exercise an in-the-money option

The option seller, also called the option writer, sells (or writes) the option and has a short position in the contract. When the exercise price of an option is equal to the current price of the stock, the option is said to be at-the-money. A holder ..

  Return on average compared to treasury bills

Historically, stocks have delivered a ________ return on average compared to Treasury bills but have experienced ________ fluctuations in values.

  Which is true about risky assets

Which is true about risky assets A. Risk premium is difference between return on a risky asset5 and return on mkt portfolio B. Expected return on asset is = to sum of possible returns divided by their possible probabilities C

  International industries purchased milling machine

International Industries purchased a milling machine for $350,000. Several years have passed and the milling machine now has a book value of $75,000. Due to an industry slowdown, International has decided to sell their milling machine at an expected ..

  What is the current yield

The 8% bonds of a company are currently selling at $1027. These bonds have 16years left until maturity. What is the current yield?

  Investor required rate of return-stock is currently trading

A stock current dividend is $1.00 and its expected dividend is $1.10 next year. If the investor required rate of return is 15% and the stock is currently trading at $20.00. What is the implied expected price in one year?

  Line of credit or a revolving credit agreement

As a financial officer of a corporation, which would you typically recommend to your board of directors when deciding to borrow: a line of credit or a revolving credit agreement? Explain why you selected that recommendation?

  Array machine will enable hospital to perform autoimmunity

An equipment acquisition proposal was being considered by a large health care organization. The array machine will enable the hospital to perform autoimmunity tests (for immunoglobulin’s G, M, and A and complements C3 and C4) in-house rather than sen..

  If people base their forecasts on rational expectations

If people base their forecasts on rational expectations, their forecast is the:

  A share of common stock just paid dividend

A share of common stock just paid a dividend of $1.51. If the expected long-run growth rate for this stock is 2.5%, and if investors' required rate of return is 7.4%, what is the stock price?

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