Multiple Choice
Thames Inc.'s most recent dividend was $2.40 per share . The dividend is expected to grow at a rate of 6 percent per year. The risk-free rate is 5 percent and the return on the market is 9 percent. If the company's beta is 1.3, what is the price of the stock today?
A) $72.14
B) $57.14
C) $40.00
D) $68.06
E) $60.57
Correct Answer:
Verified
Correct Answer:
Verified
Q69: McPherson Enterprises is planning to pay a
Q70: After a new issue is brought to
Q71: ABC Company has been growing at a
Q72: A stock expects to pay a year-end
Q73: The Stuart Corporation has excess cash to
Q75: Berg Inc. has just paid a dividend
Q76: Which of the following statements is false?<br>A)
Q77: A stock currently sells for $28 a
Q78: The preemptive right is important to shareholders
Q79: The constant growth model used for evaluating