Please help me solve these questions with step by step procedures. Thank you! 5....
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Please help me solve these questions with step by step procedures. Thank you!
5. You have a stock which pays a $2.15 dividend which is expected to grow at 13% for the next five years, then at a constant 5% into the future, the discount rate is 8%. (Round Up, One Decimal) a. $106.7 6. A firm expects to pay dividends at the end of each of the next five years of $3.00, $2.00, $1.00 $5.00, and $7.00. Growth rate is then expected to be at 5 % constantly. If you require a 12 percent rate of return, what is the value of this firm's stock? (Round Up, Two Decimals) a. $71.71 7. A firm expects to pay dividends at the end of each of the next six years of $2.00, $1.50, $2.50, $3.00, $3.00 $3.50. Growth rate is then expected to be at 2% constantly. If you require a 6 percent rate of return, what is the value of this firm's stock? (Round Up, Two Decimals) a. $75.32 8. The stocks price of Walmart Stores Inc. (WMT) as of November 14, 2017 closed at $91.09. The company's profit for the fiscal year ending January 31, 2017, was US$13.64 billion, and its number of shares outstanding was 3.1 billion. What was the P/E ratio for Walmart? a. 20.7
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