Value of Firm A=Number of shares*D0*(1+g)/(rf+b*MRP-g)=268*1.24*1.0473/(2.75%+1.43*5.07%-4.73%)=6604.025275 million
2 decimal places Suppose the risk-free rate is 2.75% and an analyst assumes a market risk...
2 decimal places Suppose the risk-free rate is 2.03% and an analyst assumes a market risk premium of 5.18%. Firm A just paid a dividend of $1.33 per share. The analyst estimates the ß of Firm A to be 1.34 and estimates the dividend growth rate to be 4.48% forever. Firm A has 278.00 million shares outstanding. Firm B just paid a dividend of $1.72 per share. The analyst estimates the ß of Firm B to be 0.71 and believes...
unanswered not submitted Suppose the risk-free rate is 1.22% and an analyst assumes a market risk premium of 6.40%. Firm A just paid a dividend of $1.18 per share. The analyst estimates the ß of Firm A to be 1.42 and estimates the dividend growth rate to be 4.93% forever. Firm A has 289.00 million shares outstanding. Firm B just paid a dividend of $1.99 per share. The analyst estimates the ß of Firm B to be 0.81 and believes...
#5 Suppose the risk-free rate is 2.27% and an analyst assumes a market risk premium of 5.90%. Firm A just paid a dividend of $1.43 per share. The analyst estimates the β of Firm A to be 1.42 and estimates the dividend growth rate to be 4.55% forever. Firm A has 295.00 million shares outstanding. Firm B just paid a dividend of $1.61 per share. The analyst estimates the β of Firm B to be 0.74 and believes that dividends...
Really need help, 2 decimal places "Suppose the risk-free rate is 1.34% and an analyst assumes a market risk premium of 5.67%. Firm A just paid a dividend of $1.42 per share. The analyst estimates the β of Firm A to be 1.46 and estimates the dividend growth rate to be 4.36% forever. Firm A has 288.00 million shares outstanding. Firm B just paid a dividend of $1.64 per share. The analyst estimates the β of Firm B to be...
Really need help, 2 decimal places "Suppose the risk-free rate is 3.00% and an analyst assumes a market risk premium of 5.84%. Firm A just paid a dividend of $1.36 per share. The analyst estimates the β of Firm A to be 1.38 and estimates the dividend growth rate to be 4.14% forever. Firm A has 262.00 million shares outstanding. Firm B just paid a dividend of $1.75 per share. The analyst estimates the β of Firm B to be...
Suppose the risk-free rate is 3.55% and an analyst assumes a market risk premium of 6.21%. Firm A just paid a dividend of $1.19 per share. The analyst estimates the β of Firm A to be 1.47 and estimates the dividend growth rate to be 4.03% forever. Firm A has 268.00 million shares outstanding. Firm B just paid a dividend of $1.59 per share. The analyst estimates the β of Firm B to be 0.71 and believes that dividends will...
Suppose the risk-free rate is 1.21% and an analyst assumes a market risk premium of 5.44%. Firm A just paid a dividend of $1.23 per share. The analyst estimates the β of Firm A to be 1.45 and estimates the dividend growth rate to be 4.29% forever. Firm A has 257.00 million shares outstanding. Firm B just paid a dividend of $1.91 per share. The analyst estimates the β of Firm B to be 0.79 and believes that dividends will...
Suppose the risk-free rate is 3.46% and an analyst assumes a market risk premium of 6.46%. Firm A just paid a dividend of $1.29 per share. The analyst estimates the β of Firm A to be 1.25 and estimates the dividend growth rate to be 4.64% forever. Firm A has 288.00 million shares outstanding. Firm B just paid a dividend of $1.89 per share. The analyst estimates the β of Firm B to be 0.78 and believes that dividends will...
Suppose the risk-free rate is 2.40% and an analyst assumes a market risk premium of 7.26%. Firm A just paid a dividend of $1.21 per share. The analyst estimates the β of Firm A to be 1.40 and estimates the dividend growth rate to be 4.96% forever. Firm A has 271.00 million shares outstanding. Firm B just paid a dividend of $1.70 per share. The analyst estimates the β of Firm B to be 0.90 and believes that dividends will...
Suppose the risk-free rate is 2.58% and an analyst assumes a market risk premium of 6.92%. Firm A just paid a dividend of $1.44 per share. The analyst estimates the β of Firm A to be 1.31 and estimates the dividend growth rate to be 4.98% forever. Firm A has 277.00 million shares outstanding. Firm B just paid a dividend of $1.87 per share. The analyst estimates the β of Firm B to be 0.80 and believes that dividends will...