Tattletale News Corporation has been growing at a rate of 10% per year, and you expect this growth rate in earnings and dividends to continue for another 3 years. If the last dividend paid was $11, what will the next dividend be? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. If the discount rate is 25% and the steady growth rate after 3 years is 2%, what should the stock price be today? Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
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- Whizcom Inc. is expected to pay a dividend of $1 next period. Dividends are expected to grow at 2% per year and the investors require a return of 12%. i) Compute the current stock price for Whizcom Inc.ii) What would be the likely stock price in year 5?iii) What would be per annum rate of return implied by a change in prices from time 0 to time 5?Tattletale News Corp. has been growing at a rate of 10% per year, and you expect this growth rate in earnings and dividends to continue for another 3 years. a. If the last dividend paid was $4, what will the next dividend be? (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. If the discount rate is 17% and the steady growth rate after 3 years is 2%, what should the stock price be today? (Do not round intermediate calculations. Round your answer to 2 decimal places.)Holtzman Clothiers's stock currently sells for $37 a share. It just paid a dividend of $3.75 a share (i.e., D0 = $3.75). The dividend is expected to grow at a constant rate of 10% a year. A. What stock price is expected 1 year from now? Round your answer to two decimal places. B. What is the required rate of return? Round your answer to two decimal places. Do not round your intermediate calculations.
- Holtzman Clothiers's stock currently sells for $22.00 a share. It just paid a dividend of $3.75 a share (i.e., D0 = $3.75). The dividend is expected to grow at a constant rate of 10% a year. What stock price is expected 1 year from now? Round your answer to two decimal places.$ What is the required rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %You are considering purchasing stock in a company that is expected to pay a $ 3.34 dividend later this year and you require a return of 7.79%. Assume the dividend will continue to be paid each year thereafter and will grow every year as described below. C What is the maximum price you would be willing to pay if you expect a growth rate of 2%? $ 58.84 (Enter as a whole number with two decimal places, such as 10.19.) What is the maximum price you would be willing to pay if you expect a growth rate of 5%? $ 125.70 What is the maximum price you would be willing to pay if you expect a growth rate of 7%? $452.38 What is the relationship between the price of a stock and the firm's growth rate? O A. The stock price is exactly equal to the growth rate times the dividend. B. As the growth rate investors expect increases, the price they are willing to pay also increases. OC. As the growth rate investors expect increases, the price they are willing to pay decreases. O D. There is no relationship.Tattletale News Corporation has been growing at a rate of 20% per year, and you expect this growth rate in earnings and dividends to continue for another 3 years. a. If the last dividend paid was $8, what will the next dividend be? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. Dividend b. If the discount rate is 17% and the steady growth rate after 3 years is 4%, what should the stock price be today? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. c Stock price
- Holtzman Clothiers's stock currently sells for $29.00 a share. It just paid a dividend of $2.75 a share (.e., Do$2.75). The dividend is expected to grow at a constant rate of 10% a year. What stock price is expected 1 year from now? Round your answer to the nearest cent. S What is the required rate of return? Do not round intermediate calculations. Round your answer to two decimal places.Woidtke Manufacturing's stock currently sells for $16 a share. The stock just paid a dividend of $2.60 a share (i.e., D0 = $2.60), and the dividend is expected to grow forever at a constant rate of 10% a year. What stock price is expected 1 year from now? Do not round intermediate calculations. Round your answer to the nearest cent. What is the estimated required rate of return on Woidtke's stock (assume the market is in equilibrium with the required return equal to the expected return)? Do not round intermediate calculations. Round the answer to two decimal places.Jefferson's recently paid an annual dividend of $5 per share. The dividend is expected to decrease by 2% each year. How much should you pay for this stock today if your required return is 10% (in $ dollars)? $______. give the answer with decimals
- A stock is expected to pay a dividend of $2.25 at the end of the year (i.e., D1 = $2.25), and it should continue to grow at a constant rate of 8% a year. If its required return is 14%, what is the stock's expected price 4 years from today? Round your answer to two decimal places. Do not round your intermediate calculations.Tattletale News Corp. has been growing at a rate of 20% per year, and you expect this growth rate in earnings anddividends to continue for another 3 years.a. If the last dividend paid was $2.00, what will the next dividend be?b. If the discount rate is 15% and the steady growth rate after 3 years is 4%, what should the stock price be today?Paccar's current stock price is $95.47, and it is likely to pay a $2.79 dividend next year. Because analysts estimate Paccar will have an 9.5 percent growth rate, what is its required return? Note: Round your answer to 2 decimal places.