Question

q22. What is the expected constant-growth rate of dividends for a stock currently priced at $90,...

q22.

What is the expected constant-growth rate of dividends for a stock currently priced at $90, that just paid a dividend of $5.5, and has a required return of 15%?

Multiple Choice

  • 3.48%

  • 5.52%

  • 8.38%

  • 9.26%

q23.

What is the standard deviation of returns for an investment that has a probability of 0.3 to return 100% gain, probability of 0.4 to return 50% gain, and probability of 0.3 to return 100% loss?

Multiple Choice

  • 0.5468

  • 0.9999

  • 0.8124

  • 0.7125

Homework Answers

Answer #1

JUST WRITTEN IN EXCEL, NO EXCEL FUNCTION IS USED

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