Stock XYZ has a current dividend of $6.00. The dividend is expected to grow at 4.00% per year until year 3 and then at 3.00% per year for the rest of time. Based on the riskiness XYZ, its discount rate is 7.00%. With this information, what is the dividend yield from today to year 1?
(A) 7.00%
(B) 3.73%
(C) 4.00%
(D) 4.12%
(E) 3.93%
(F) 3.07%
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Stock XYZ has a current dividend of $6.00. The dividend is expected to grow at 4.00% per year until year 3 and then at 3.00% per year for ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Respond in a single sentence each what is the (a) the Value Proposition (b) Potential Customer Segments (c) Channels and (d) Revenue/Pricing Model for the company.
Answers (1)
If a firm's know-how, skills, and capabilities can be protected by contract, and if tight control over foreign operations is not vital to remain competitive, and there are reasons to believe that additional costs through transportation or tariffs
Answers (1)
Imagine that you calculate the inflation rate of some economy using the CPI. You get that inflation in 2008 was 22.4%, in 2009 was 12.5% and in 2010 was 3.9%.
Answers (1)
The money a team spends on an electronic scoreboard represents:
Answers (1)
On a given trading day, 700 stocks advanced and 1,200 stocks declined. The volume of declining stocks was 280 million while the volume of advancing stocks was 530 million. What is the TRIN value for the day? A) 0.31B) 0.91C) 1.10D) 3.24
Answers (1)
New Questions in Business
Gabrielle is the chief marketing officer of Boyd Pharmaceuticals. She is meeting with Trent, the chief financial officer to decide on the company's marketing communications budget.
Answers (1)
For high levels of quantity supplied where firms have reached near maximum capacity, supply becomes more elastic because firms may need to invest in additional capital in order to increase production further. True or False?
No Answers
Economics A. assumes irrationality if people are paid enough. B. assumes individuals are rational and respond to different incentives. C. assumes government involvement in the economy is always beneficial. D.
Answers (2)
Which of these is an example of a final good? A. wood. B. steel C. needle
Answers (1)
EarthWear's income before taxes is $36 million (rounded). Assume that the auditors have decided that 5 percent of this benchmark is appropriate for planning materiality and allocate 50 percent of it as tolerable misstatement. b.
Answers (1)