The world’s Largest Sharp Brain Virtual Experts Marketplace Just a click Away
Levels Tought:
Elementary,Middle School,High School,College,University,PHD
| Teaching Since: | May 2017 |
| Last Sign in: | 399 Weeks Ago, 1 Day Ago |
| Questions Answered: | 66690 |
| Tutorials Posted: | 66688 |
MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Ecology Labs, Inc., will pay a dividend of $7.10 per share in the next 12 months (D1). The required rate of return (Ke) is 18 percent and the constant growth rate is 8 percent. (Each question is independent of the others.) (a) Compute the price of Ecology Labs' common stock. (Round your intermediate and final answer to 2 decimal places. Omit the "$" sign in your response.) Price $ (b) Assume Ke, the required rate of return, goes up to 21 percent; what will be the new price? (Round your intermediate and final answer to 2 decimal places. Omit the "$" sign in your response.) New price $ (c) Assume the growth rate (g) goes up to 11 percent; what will be the new price? Ke goes back to its original value of 18 percent. (Round your intermediate and final answer to 2 decimal places. Omit the "$" sign in your response.) New price $ (d) Assume D1 is $7.90; what will be the new price? Assume Ke is at its original value of 18 percent and g goes back to its original value of 8 percent. (Round your intermediate and final answer to 2 decimal places. Omit the "$" sign in your response.) New price $
Hel-----------lo -----------Sir-----------/Ma-----------dam-----------Tha-----------nk -----------You----------- fo-----------r u-----------sin-----------g o-----------ur -----------web-----------sit-----------e a-----------nd -----------acq-----------uis-----------iti-----------on -----------of -----------my -----------pos-----------ted----------- so-----------lut-----------ion-----------.Pl-----------eas-----------e p-----------ing----------- me----------- on-----------cha-----------t I----------- am----------- on-----------lin-----------e o-----------r i-----------nbo-----------x m-----------e a----------- me-----------ssa-----------ge -----------I w-----------ill----------- be-----------