SmartExpert

(118)

$30/per page/Negotiable

About SmartExpert

Levels Tought:
Elementary,Middle School,High School,College,University,PHD

Expertise:
Accounting,Business & Finance See all
Accounting,Business & Finance,Economics,English,HR Management,Math Hide all
Teaching Since: Apr 2017
Last Sign in: 57 Weeks Ago, 2 Days Ago
Questions Answered: 7570
Tutorials Posted: 7352

Education

  • BS,MBA, PHD
    Adelphi University/Devry
    Apr-2000 - Mar-2005

Experience

  • HOD ,Professor
    Adelphi University
    Sep-2007 - Apr-2017

Category > Accounting Posted 07 Apr 2018 My Price 1.00

Reddick Enterprises'

Reddick Enterprises' stock currently sells for $35.50 per share. The dividend is projected to increase at a constant rate of 5.50% per year. The required rate of return on the stock, rs, is 9.00%. What is the stock's expected price 3 years from today?

  A.

$37.86
  B.

$38.83
  C.

$39.83
  D.

$40.85
  E.

$41.69

Answers

SmartExpert
(118)
Status NEW Posted 07 Apr 2018 11:04 AM My Price 1.00

Red-----------dic-----------k E-----------nte-----------rpr-----------ise-----------s'-----------

Attachments

file 1523102061-Reddick Enterprises.docx preview (58 words )
R-----------edd-----------ick----------- En-----------ter-----------pri-----------ses-----------' -----------Red-----------dic-----------k E-----------nte-----------rpr-----------ise-----------s' -----------sto-----------ck -----------cur-----------ren-----------tly----------- se-----------lls----------- fo-----------r $-----------35.-----------50 -----------per----------- sh-----------are-----------. T-----------he -----------div-----------ide-----------nd -----------is -----------pro-----------jec-----------ted----------- to----------- in-----------cre-----------ase----------- at----------- a -----------con-----------sta-----------nt -----------rat-----------e o-----------f 5-----------.50-----------% p-----------er -----------yea-----------r. -----------The----------- re-----------qui-----------red----------- ra-----------te -----------of -----------ret-----------urn----------- on----------- th-----------e s-----------toc-----------k, -----------rs,----------- is----------- 9.-----------00%-----------. W-----------hat----------- is----------- th-----------e s-----------toc-----------k's----------- ex-----------pec-----------ted----------- pr-----------ice----------- 3 -----------yea-----------rs -----------fro-----------m t-----------oda-----------y? ----------- A.----------- $3-----------7.8-----------6 -----------B. -----------$38-----------.83----------- C-----------. $-----------39.-----------83 ----------- D.----------- $4-----------0.8-----------5 -----------E. -----------$41-----------.69----------- A-----------nsw-----------er ----------- ----------- ----------- -----------Sto-----------ck'-----------s e-----------xpe-----------cte-----------d p-----------ric-----------e 3----------- ye-----------ars----------- fr-----------om -----------tod-----------ay -----------is -----------$41-----------.69-----------. -----------
Not Rated(0)