What must be the amount of the annual dividend

Assignment Help Financial Management
Reference no: EM131501451

Suppose you are willing to pay $30 today for a share of stock which you expect to sell at the end of one year for $32. If you require an annual rate of return of 12 percent, what must be the amount of the annual dividend which you expect to receive at the end of Year 1?

Reference no: EM131501451

Questions Cloud

Explain the human resource management process : Explain the human resource management process, its role in supporting the overall organizational strategies, and the various functions.
What is the next expected annual dividend per share : what is the next expected annual dividend per share?
Discuss positive or negative externalities on food industry : Prepare a seven slide PowerPoint (including a reference page) discussing the three below bullets on the food industry dealing with bread.
Preemptive rights on the new stock issue : An investor with 20,000 shares who exercises his preemptive rights on the new stock issue will have the right to buy how many stocks?
What must be the amount of the annual dividend : what must be the amount of the annual dividend which you expect to receive at the end of Year 1?
Divisions between commercial and industrial east : The divisions between the commercial and industrial East, and the frontier and agrarian West, were for most of American history.
What is the bonds yield to maturity : What is the bond’s yield to maturity (YTM)?
Create a memo proposal using the aida model : Create a memo proposal using the AIDA model in a Word in a minimum of 1,400 words. You will add an introduction and conclusion.
Did the receiver correctly decode the message : What idea were you trying to share? How did you encode and transmit it? Did the receiver get the message? Did the receiver correctly decode the message?

Reviews

Write a Review

Financial Management Questions & Answers

  Building for their business operations

Mitchell and Meyer Associates bought land and a building for their business operations on January 10, 2013 for $600,000. The land was appraied at $200,000 and the building purchase price was $400,000.

  Which project has the higher equivalent annual net benefit

The company you work for is trying to decide between two projects. Project 1 costs dollar 150,000 up front, and has an expected life of 4 years, over which it will return dollar 47,000 each of the four years. Project 2 would last for 20 years, costs ..

  To meet this goal she deposit money into account

Maria Sanchez needs $9540 in three years to put a new roof on our house. To meet this goal she deposit money into an account today that pays 4.75% compounded monthly. Find the amount she must invest today to have $9540 in three years?

  What personal tax rate would make investors equally willing

After completing its capital spending for the year, Carlson Manufacturing has $2,600 extra cash. Carlson’s managers must choose between investing the cash in Treasury bonds that yield 7 percent or paying the cash out to investors who would invest in ..

  Promotional budget and sales budget

All else constant, what would Chester’s SG&A/Sales ratio be if the company had spent an additional $1,500,000 for Cat’s promotional budget and $750,000 for Cat’s sales budget?

  Zero coupon bonds have highest reinvestment rate risk

All else equal, 20-year T-bonds have less price risk than 5-year T-bonds. All else equal, bonds with 5% coupon rate have more reinvestment rate risk than bonds with 10% coupon rate. All else equal, bonds with 5% coupon rate have less price risk than ..

  Weighted averaging may be done in the context

Advising NT Inc., you point out that weighted averaging may be done in the context of...

  Developed promising therapies for hair loss

Turves S.A. is a French biotechnology company that has developed promising therapies for hair loss, obesity, and wrinkled skin. Sales have doubled in each of the last 3 years, but so far, the company has yet to turn a proft. Which common procedures w..

  Evaluate the impact of a major customer

Analyse the current financial state of Anthony's Orchard and evaluate the impact of a major customer cancelling their expected order.

  The storage cost for coal is essentially zero

A 3-month contract on coal, assuming the current price of coal is $43.83 per short ton, the storage cost for coal is essentially zero

  An entrepreneur considering two sites

An entrepreneur considering two sites for a men and boys' shop determines that he needs sales of $158 per square foot to be profitable. Site #1 has 13,500 potential customers who spend an average of $160.20 per year on men and boys' wear.

  Draw a demand and supply graph for bonds

Draw a demand and supply graph for bonds that shows the effect on a bond that has its rating lowered.-How does the interest rate on an illiquid bond compare with the interest rate on a liquid bond?

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