A preferred stock recently paid a $0.82 dividend, and the required rate of return is 12%. Which of the following calculates the intrinsic value of this stock in cell B3?

Q: Answer the multiple-choice question below: 1. LUCELEC’s preferred shares pay a dividend of $4.50.…

A: Preferred Shares: Preferred Share is one kind of ownership that has a preference for the claims of…

Q: Suppose a stock had an initial price of $102 per share, paid a dividend of $3.30 per share during…

A: Ending price = 80.5Initial Price = 102Dividend = 3.3

Q: Stock XYZ started at $415. It went up to $500. What is the percent increase or decrease (relative…

A: Since the price of the stock has been increased hence we will calculate the percentage…

Q: For the following stock investment, find (a) the total purchase price, (b) the total dividend…

A: Number of shares110Price per share$22.50Dividend per share$1.89Sale price per share$19.50Required:…

Q: What will be the nominal RoR on a perpetual preferred stock with a $100 par value, a stated dividend…

A: Par value = $100 Dividend rate = 7% Annual dividend = 100*0.07 = $7

Q: Suppose a stock had an initial price of $168 per share, paid a dividend of $2 per share during the…

A: To calculate the percentage total return we will use the below formula   Percentage total return =…

Q: 4. Consider JMJ Corp 6% $100 par value cumulative preferred stock. The current market price of the…

A: Dividend Rate = d = 6%Face Value = fv = $100Current Market Price of Stock = pv = $120

Q: PREFERRED STOCK RATE OF RETURN What will be the nominal rate of return on a per- petual preferred…

A: Nominal rate of return = Dividend / Current market price Where, Dividend = Par Value * Dividend Rate…

Q: LUCELEC’s preferred shares pay a dividend of $4.50. What is the value of the stock if your required…

A: Preferred stock means the amount raised against which dividend is given to stock holder but after…

Q: 2. GM Corp. gives P 38.00 dividend per share for its common stock. The market value of stock is P…

A: Dividend Yield Ratio: The Dividend yield ratio shows you that the what percentage of dividend,…

Q: What is the rate of return on a preferred stock that has a par value of $50, a market price of…

A: Given details are : Par value of preferred stock = $50 Market price of preferred stock = $46.50…

Q: Calculate the value of preferred stock given: Dividend Payment (D) is $10 and Capitalization Rate…

A: Value of Preferred stock = Dividend payment / Capitalisation Rate

Q: Suppose a stock had an initial price of $109 per share, paid a dividend of $2.70 per share during…

A: a. Percentage total return = [(Ending share price - Initial price) + Dividend] / Initial price…

Q: Calculate the value of common stock given: Expected Dividend Year 1 (D1) is $20; Capitalization Rate…

A: As per Gordons growth model,   P = D1 / (Ke-g)   P = stock price D1 = value of next…

Q: What is the value of the stock?

A: Information Provided: Current dividend (D0) = $2.09 Growth rate (Year 1 to Year 3) = 27.55%…

Q: 1. A stock had the following prices and dividends. What is the geometric average return on this…

A: Returns of the stock refer to the income earned by holding the stock for a defined period of time,…

Q: 3. A property holdings declared a dıvidend of P the common stock closes at P 76, how mu investment?

A: Stock Yield Ratio Stock (Dividend) yield is shown as a percentage and calculated by dividing the…

Q: 1. Calculating Returns Suppose a stock had an initial price of $87 per share, paid a dividend of…

A: percentage total return=(End value-Beginning value+Dividend)/Beginning value

Q: 10. Assume a preferred stock has a dividend of 1.8$/year. The required rate of return on similar…

A: The intrinsic value of preferred stock is calculated as preferred dividend divided by the required…

Q: What was X-Co stock’s annual total return (ATR) for 2022 if you bought it for $20 on 1/1; received a…

A: Solution: Annual Total Return (ATR) means the rate of return earned per annum on invested money. So,…

Q: You calculated the value of a stock to be $108.  The stock pays a dividend of $7.6. What is the most…

A: A stock represents a share of ownership in a publicly-traded company. value of stock = $108 Dividend…

Q: Suppose a stock had an initial price of $60 per share, paid a dividend of $1.80 per share during the…

A: Initial Price = $60Dividend = $1.80Ending Price = $72

Q: Suppose a stock had an initial price of $74 per share, paid a dividend of $1.65 per share during the…

A: Initial Price (P0) = $74Dividend (D) = $1.65Final Price (P1) = $61

Q: Assuming constant growth in dividends, the price of a stock at year 3 can be expressed as: 1) D₁ x…

A: According to Gordon's grwoth model ,Po =wherePo = Stock price for year 0 D1 =  Expected dividend for…

Q: Suppose a stock had an initial price of $64 per share, paid a dividend of $1.40 per share during the…

A: Percentage of return = Total return / Initial price of shares

Q: Suppose a stock had an initial price of $76 per share, paid a dividend of $1.85 per share during the…

A: Percentage Total Return is calculated by following formula:-Percentage Total Return =

Q: Suppose a stock had an initial price of $72 per share, paid a dividend of $2.60 per share during the…

A: Dividend Yield:Dividend yield is a financial ratio that indicates the annual dividend income…

Q: Suppose a stock had an initial price of $44 per share, paid a dividend of $5 per share during the…

A: To calculate the percentage total return we will use the below formula   Percentage total return =…

Q: umber Corporation was organized on January erred stock and 97,500 shares of $10 par value common sto…

A: The dividend is the portion of the company's profit paid to shareholders during the year. There are…

Q: Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre…

A: The average annual percentage return is calculated by dividing the average annual dividend by the…

Q: Please show steps in excel.

A: The objective of the question is to calculate the future earnings growth rate and the value of the…

Q: he cost for the following preferred stock. (Click on the icon here in order to copy the conten Par…

A: Par value = $ 75 Dividend rate = 12% Annual dividend = Par value*Dividend rate…

Q: What will be the nominal rate of return on perpetual preferred stock with a $160 par value, a stated…

A: In the given question we need to compute the nominal rate of return on perpetual preferred stock.…

Q: The following stock quotations were recently reported in The Wall Street Journal: 49.42 30.92 11.4…

A: The question is based on the concept of reading data of stock quotation from the Wall street…

Q: Consider the following data: D₁ =$1.55; P 0-$49.50; g-6.79% (constant); and F = 2.00%. What is the…

A: Expected Dividend = d1 = $1.55Current Price of Stock = p0 = $49.50Growth Rate = g = 5.70%Flotation…

Q: On the basis of this information, calculate as many liquidity, activity, leverage, profitzit and…

A: There are several types of ratios, namely:  Liquidity Ratio , Activity Ratio, Leverage Ratio,…

Q: q3. Assume Firm ABC has expected earnings per share (EPS) of $0.43, and the industry’s P/E ratio is…

A: Intrinsic Value of share = EPS * Industry's PE ratio

Q: Share commom stock dividend is $1.00 , g=5.4 and required return is 11.4%, What is the stock price?

A: Current Divided (D0) = 1 Growth rate(g) =5.40% Required return (k)=11.40% Current stock price =…

Q: What is earning per share? What is price- earning patio? what is dividends per share ?What is…

A: Earnings per share (EPS) refers to the profit per outstanding share of tock of a public company,…

Q: Suppose a stock had an initial price of $86 per share, paid a dividend of $1.80 per share during the…

A: Percentage Total Return is -11.86%Dividend Yield is 2.09%Capital Gains Yield is…

Q: A stock is selling today for $50 per share. At the end of the year, it pays a dividend of $3 per…

A: The dividend yield is the percentage ratio that tells us about how much dividend a company is paying…

Q: Assuming that 163,000 will be distributed as a dividend in the current year, how much will the…

A: Preferred Stock Holders: These are holders of preferred stock and have priority of the firm's…

Q: You find a stock selling for $91.26 that has a dividend yield of 1.6 percent and a PE ratio of 12.0.…

A: Dividend is that sum of money which a company pays out on a regular basis to its shareholders. A…

Q: Suppose a stock had an initial price of $50 per share, paid a dividend of $.80 per share during the…

A: Return from stock can be determined by using the difference between the ending price and the initial…