Apocalyptica Corp. pays a constant $26 dividend on its stock. The company will maintain this dividend...
Apocalyptica Corp. pays a constant $26 dividend on its stock. The company will maintain this dividend for the next 7 years and will then cease paying dividends forever.
Required: If the required return on this stock is 11 percent, what is the current share price?
Homework Answers
The price of any financial instrument is the PV of the future cash flows. The future dividends of this stock are an annuity for 7 years, so the price of the stock is the PVA, which will be:
P0 = $26(PVIFA11%,7) = $122.52
Add Answer to:
Apocalyptica Corp. pays a constant $26 dividend on its stock. The company will maintain this dividend...
Apocalyptica Corp. pays a constant $29 dividend on its stock. The company will maintain this dividend...
Apocalyptica Corp. pays a constant $29 dividend on its stock. The company will maintain this dividend for the next 10 years and will then cease paying dividends forever. Required: If the required return on this stock is 14 percent, what is the current share price?
Apocalyptica Corp. pays a constant $25 dividend on its stock. The company will maintain this dividend...
Apocalyptica Corp. pays a constant $25 dividend on its stock. The company will maintain this dividend for the next 13 years and will then cease paying dividends forever. Required: If the required return on this stock is 7 percent, what is the current share price? $223.57 $325.00 $208.94 $219.39 $204.76
09012b. lo 3 19 Apocalyptica Corp. pays a constant $28 dividend on its stock. The company...
09012b. lo 3 19 Apocalyptica Corp. pays a constant $28 dividend on its stock. The company will maintain this dividend for the next 10 years and will then cease paying dividends forever ngs If the required return on this stock is 6 percent, what is the current share price? 206.08 280.45 201.96 216.35 280.00
Apocalyptica Corp. pays a constant $26 diMdend on Its stock. The company will malntain this dividend...
Apocalyptica Corp. pays a constant $26 diMdend on Its stock. The company will malntain this dividend for the next 10 years and will then cease paytng dMidends forever Required: If the required return on thls stock Is 9 percent, what Is the current share price? Multiple Choice $181.88 $175.20 $166.86 $163.52 00 0925
Burnett Corp. pays a constant $12 dividend on its stock. The company will maintain this dividend...
Burnett Corp. pays a constant $12 dividend on its stock. The company will maintain this dividend for the next 5 years and will then cease paying dividends forever. If the required return on this stock is 7 percent, what is the current share price?
Burnett Corp. pays a constant $27 dividend on its stock. The company will maintain this dividend...
Burnett Corp. pays a constant $27 dividend on its stock. The company will maintain this dividend for the next 11 years and will then cease paying dividends forever. If the required return on this stock is 13 percent, what is the current share price? Multiple Choice $173.51 $297.00 $161.22 $153.55 $150.48
Gruber Corp. pays a constant $9 dividend on its stock. The company will maintain this dividned...
Gruber Corp. pays a constant $9 dividend on its stock. The company will maintain this dividned for the next 12 years and will then cease paying dividends forever. If the required return on this stock is 10 percent, what is the current share price?
Burkhardt Corp. pays a constant $14.70 dividend on its stock.
Burkhardt Corp. pays a constant $14.70 dividend on its stock. The company will maintain this dividend for the next ten years and will then cease paying dividends forever. If the required return on this stock is 11 percent, what is the current share price? Share price $_______
Gruber Corp. pays a constant $9.35 dividend on its stock. The company will maintain this dividend...
Gruber Corp. pays a constant $9.35 dividend on its stock. The company will maintain this dividend for the next 10 years and will then cease paying dividends forever. The required return on this stock is 10 percent. What is the current share price? (Do not round intermediate calculations and round your final answe
Burkhardt Corp. pays a constant $13.40 dividend on its stock. The company will maintain this dividend...
Burkhardt Corp. pays a constant $13.40 dividend on its stock. The company will maintain this dividend for the next 6 years and will then cease paying dividends forever. If the required return on this stock is 9 percent, what is the current share price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.16.) Share price
09012b. lo 3 19 Apocalyptica Corp. pays a constant $28 dividend on its stock. The company will maintain this dividend for the next 10 years and will then cease paying dividends forever ngs If the required return on this stock is 6 percent, what is the current share price? 206.08 280.45 201.96 216.35 280.00
Apocalyptica Corp. pays a constant $26 diMdend on Its stock. The company will malntain this dividend for the next 10 years and will then cease paytng dMidends forever Required: If the required return on thls stock Is 9 percent, what Is the current share price? Multiple Choice $181.88 $175.20 $166.86 $163.52 00 0925
Burkhardt Corp. pays a constant $13.40 dividend on its stock. The company will maintain this dividend for the next 6 years and will then cease paying dividends forever. If the required return on this stock is 9 percent, what is the current share price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g.. 32.16.) Share price
Most questions answered within 3 hours.
-
Calculate the pH of each of the following solutions.
0.50 M HBr
3.1×10−4 M KOH
4.2×10−5...
asked 13 minutes ago -
For the year ended December 31, Depot Max’s cost of merchandise
sold was $85,600. Inventory at the...
asked 13 minutes ago -
Week 10 - Professional Memo Assignment
Professional Memo Assignment
Your mission for this week, should you...
asked 18 minutes ago -
Write a Python program that stores the data for each
player on the team, and it...
asked 28 minutes ago -
In
the last 3 months, mike never knows when he is going to get his
allowance...
asked 52 minutes ago -
Is Ca(OH)2 a Bronsted base, Lewis base, or both? Why?
asked 42 minutes ago -
1A- Why don’t voters complain about U.S. tariffs on imported
sugar?
Because sugar is only a...
asked 51 minutes ago -
Cash Payback Period
Primera Banco is evaluating two capital investment proposals for
a drive-up ATM kiosk,...
asked 49 minutes ago -
Create a button in Swift (Xcode) that will create a charge,
create a charge using Stripe's...
asked 49 minutes ago -
The reaction rate of CO and NO2 in the reaction
CO(g) + NO2(g) → CO2(g) +...
asked 51 minutes ago -
Imagine that a chemist puts 6.40 mol each of
C3H8 and O2 in a 1.00-L container...
asked 1 hour ago -
How much money should be invested today in order to have $8340
at the end of...
asked 1 hour ago