farrukhsadiq

Sure....

14. net profit margin 4%
total asset turnover 2.0
financial leverage (total assets/equity) 2.5
beta for the company's stock 1.5
expected rate of return on the market index 12.0%
risk free rate of return 5.0%

The analyst expects the information above to acurately reflect the future. If the company wants to achieve a growth rate of 20% without changing its capital structure or issuing new equity, the minimum dividend payout ratio for the company would be closest to...?

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15. Current dividend per share on common stock $ 3.00
Expected annual growth rate for years 1 and 2 = 20%
Expected annual growth rate for year 3 and thereafter = 9%
Expected risk free rate of return = 6 %
Expected return on teh market portfolio = 11 %
Beta for the common stock = 1.2


The value of a share of the company's common stock is closest to...?