What is the price of the stock

Assignment Help Business Economics
Reference no: EM131460255

Pharsalus Inc. just paid a dividend (i.e., D0) of $ 0.90 per share. This dividend is expected to grow at a rate of 3.8 percent per year forever. The appropriate discount rate for Pharsalus's stock is 15.4 percent. What is the price of the stock? (Round your answer to 2 decimal places and record your answer without dollar sign or commas).

Reference no: EM131460255

Questions Cloud

Price of the stock after the announcement : Assuming that the discount rate remains the same, what will be the price of the stock after the announcement?
Constant dividend growth model : which of the following is certain to cause the analyst to increase her estimate of the current value of the stock
What is the probability that both dave and mike will show up : Christine Wong has asked Dave and Mike to help her move into a new apartment on Sunday morning. She has asked them both in case one of them does not show up.
Explain to skaros why his production cost report showed : Prepare a maximum 700-word informal memo and explain to Mr. Skaros why his production cost report showed only 2,000 equivalent units in ending inventory.
What is the price of the stock : The appropriate discount rate for Pharsalus's stock is 15.4 percent. What is the price of the stock?
Period that government-paid interest runs : a. If Luis claim for a refund is correct in amount, how much tax will he recover? b. What is the period that government-paid interest runs with respect to Luis
Find probability that she had taken public transportation : According to a recent survey by two United Nations agencies and a nongovernmental organization, two in every three women in the Indian capital of New Delhi.
What value of the investor''s position : The one month interest rate is 6%. What's value of the investor's position?
What is the probability that the worker is college educated : ince the fall of 2008, millions of Americans have lost jobs due to the economic meltdown. A recent study shows that unemployment has not impacted white collar.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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