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1. (TCO D) A share of common threadbare just paying(prenominal) a dividend of $1.00. If the expected long-run growth rate for this hold is 5.4%, and if investors required rate of return is 11.4%, what is the stock(a) price? (Points : 10) $16.28 $16.70 $17.13 $17.57 $18.01| 2. (TCO D) If D0 = $2.25, g (which is constant) = 3.5%, and P0 = $50, what is the stocks expected dividend yield for the coming family? (Points : 10) 4.42% 4.66% 4.89% 5.13% 5.39%| 3. (TCO D) Carters preferred stock pays a dividend of $1.00 per quarter. If the price of the stock is $45.00, what is its titular (not effective) annual rate of return? (Points : 10) 8.03% 8.24% 8.45% 8.67% 8.89%| 4. (TCO E) Bankston Corpo balancen forecasts that if all of its breathing pecuniary policies are followed, its proposed smashing budget would be so vainglorious that it would have to affair new-made common stock. Since new stock has a higher cost than retained earnings, Bankston would sam e to negate issuing new stock. Which of the following actions would REDUCE its motive to issue new common stock? (Points : 10) profit the dividend payout ratio for the future year. Increase the portion of debt in the target hood structure. Increase the proposed not bad(p) budget.

Reduce the amount of short-term stick debt in devote to increase the current ratio. Reduce the percentage of debt in the target capital structure.| 5. (TCO E) The MacMillen Company has equal amounts of low-risk, average-risk, and spoiled projects. The firms general WACC is 12%. The CFO believes that this is the correct WACC for the companys average-risk projects, mo! reover that a lower rate should be employ for lower-risk projects and a higher rate for higher-risk projects. The CEO disagrees, on the causal federal agent that even though projects have different risks, the WACC used to go over each project should be the same because the company obtains capital for all projects from the same sources. If the CEOs position is accepted, what is likely to happen over...If you want to get a full essay, sanctify it on our website: BestEssayCheap.com

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