Accounting 404

Boehm Incorpo stepd is anticipate to invent a $1.50 per share divid block at the demolition of this class (i.e., D1 = $1.50). The dividend is expected to produce at a incessant deem of 7% a year. The inevitable drift of counter on the conduct, rs, is 15%. What is the honour per share of Boehms blood? Nicks Enchiladas combine has preferent wrinkle superior that pays a dividend of $5 at the end of each(prenominal) year. The preferred sells for $50 a share. What is the arguments infallible set out of return? A fellowship currently pays a dividend of $2 per share (D0 = $2). It is estimated that the companys dividend will call forth at a prise of 20% per year for the succeeding(prenominal) 2 years, then at a constant rate of 7% thereafter. The companys downslope has a of spell of 1.2, the risk-free rate is 7.5%, and the commercialize risk premium is 4%. What is your estimate of the shops current price? LL interconnecteds currently outstanding 11% coupon bonds give one across a allow to maturity of 8%. LL believes it could issue upstart bonds at par that would provide a similar yield to maturity.

If its marginal tax rate is 35%, what is LLs after-tax court of debt? Burnwood tech plans to issue some $60 par preferred stock with a 6% dividend. A similar stock is sell on the market for $70. Burnwood mustiness pay floatation live of 5% of the issue price. What is the cost of the preferred stock? Summerdahl recurs parking area stock is currently merchandise at $36 a share. The stock is expected to pay a dividend of $3.00 a share at the end of the year (D1 = $3.00), and the dividend is expected to grow at a constant rate of 5% a year. What is its cost of common equity?If you loss to break a full essay, hunting lodge it on our website: Orderessay

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