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4.) The riるk pre in fonmation ; risk free nate =4:1,, market return L 15%., stock C's betaz 1'15.? 4) Je fensons recently paid annual dividend of $4 pen shane. The dividend is expeeted to deenease by 5%. each year. How much shoulod you pay foe thin stock foday i your nequined retura is 151. (im $ Dollans)? ) Considen a 5 year 9. annyal cnpon. If interest rates change from 9. to 5% ニ bad with a parn volne of $100o and an the bonds priee will inenease by $

4.) The riるk pre in fonmation ; risk free nate =4:1,, market return L 15%., stock C's betaz 1'15.? 4) Je fensons recently paid annual dividend of $4 pen shane. The dividend is expeeted to deenease by 5%. each year. How much shoulod you pay foe thin stock foday i your nequined retura is 151. (im $ Dollans)? ) Considen a 5 year 9. annyal cnpon. If interest rates change from 9. to 5% ニ bad with a parn volne of $100o and an the bonds priee will inenease by $

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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4. a) The risk preminm is 7. on stock C given the fllowing ikfonmation : risk free nate = 4:1., marrket return 15y., stock b) Jefensons recently paid annual dividend of $4 pen shane. The dividend is expected to deenease by 5y. each year. How much should you pay for thh stock foday K yoiur requined retura is 15:1. (n $ Dollans)? ) Considen a 5 year pan 9. annnal cnpon. If interest rates change from 9. to 5% bond with a volne of $100 and an the bonds priee will inenease by $ Que 1 po ce (in $ da Questic biviy
Transcribed Image Text:4. a) The risk preminm is 7. on stock C given the fllowing ikfonmation : risk free nate = 4:1., marrket return 15y., stock b) Jefensons recently paid annual dividend of $4 pen shane. The dividend is expected to deenease by 5y. each year. How much should you pay for thh stock foday K yoiur requined retura is 15:1. (n $ Dollans)? ) Considen a 5 year pan 9. annnal cnpon. If interest rates change from 9. to 5% bond with a volne of $100 and an the bonds priee will inenease by $ Que 1 po ce (in $ da Questic biviy
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