Question

Rylan Industries is expected to pay a dividend of $5.90 a year for the next four...

Rylan Industries is expected to pay a dividend of $5.90 a year for the next four years. If the current price of Rylan stock is $31.65​, and​ Rylan's equity cost of capital is 14​%, what price would you expect​ Rylan's stock to sell for at the end of the four​ years?

A.$24.42

B.$43.96

C.$19.54

D. $ 68.38

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Rylan Industries has is expected to pay a constant dividend for the next four years. Rylan's...
Rylan Industries has is expected to pay a constant dividend for the next four years. Rylan's current share price is $30 per share and is expected to be (ex-dividend) $40 per share in year 4. Given that Rylan's equity cost of capital is 14%, what is the expected constant annual dividend in years 1-4?
Rylan Industries has is expected to pay a constant dividend for the next four years. Rylan's...
Rylan Industries has is expected to pay a constant dividend for the next four years. Rylan's current share price is $30 per share and is expected to be (ex-dividend) $40 per share in year 4. Given that Rylan's equity cost of capital is 14%, what is the expected constant annual dividend in years 1-4? a. $3,45 per share b. $4,98 per share c. $2,92 per share d. $4,30 per share
ABC is expected to pay a dividend of $1.25 every six months for the next four...
ABC is expected to pay a dividend of $1.25 every six months for the next four years. The current share price is $25.76 and the relevant discount rate is 14% (compounded semi-annually). What do you expect the share price at the end of year 4 to be?
ABC is expected to pay a dividend of $1.25 every six months for the next four...
ABC is expected to pay a dividend of $1.25 every six months for the next four years. The current share price is $25.76 and the relevant discount rate is 14% (compounded semi-annually). What do you expect the share price at the end of year 4 to be? a. $28.82 b. $26.74 c. $31.44 d. $25.12
Coolibah Holdings is expected to pay dividends of $ 1.20 every six months for the next...
Coolibah Holdings is expected to pay dividends of $ 1.20 every six months for the next three years. If the current price of Coolibah stock is $ 22.00​, and​ Coolibah's equity cost of capital is 16​%, what price would you expect​ Coolibah's stock to sell for at the end of three​ years?
Coolibah Holdings is expected to pay dividends of $ 1.40 every six months for the next...
Coolibah Holdings is expected to pay dividends of $ 1.40 every six months for the next three years. If the current price of Coolibah stock is $ 21.60​, and​ Coolibah's equity cost of capital is 16​%, what price would you expect​ Coolibah's stock to sell for at the end of three​ years? A. $ 28.81 B. $ 24.01 C. $ 27.61 D. $ 26.41
Darrens Holdings is expected to pay dividends of $1.00 every six months for the next three...
Darrens Holdings is expected to pay dividends of $1.00 every six months for the next three years. If the current price of Darrens stock is $22.70​, and​ Darrens's equity cost of capital is 18​%, what price would you expect​ Darrens's stock to sell for at the end of three​ years?
Company D is expected to pay a $4.44 dividend at the end of the 7th year....
Company D is expected to pay a $4.44 dividend at the end of the 7th year. You expect Company D's dividend to grow by 1.38% per year forever. Company D's equity cost of capital is 8.47%. What should be the price of the stock today?
Company B is expected to pay dividends of $1.35 every 6 months for the next 4...
Company B is expected to pay dividends of $1.35 every 6 months for the next 4 years. If the current price of Company B stock is $100, and Company B's equity cost of capital is 4.5%. What price would you expect the stock to sell for at the end of 4 years? Note: Express your answers in strictly numerical terms. For example, if the answer is $500, enter 500 as an answer."
Krell Industries has a share price of $22.35today. If Krell is expected to pay a dividend...
Krell Industries has a share price of $22.35today. If Krell is expected to pay a dividend of $1.14this year and its stock price is expected to grow to $23.67 at the end of the​ year, what is​ Krell's dividend yield and equity cost of​ capital? The dividend yield is __​%. ​(Round to one decimal​ place.) The capital gain rate is__​%. ​(Round to one decimal​ place.) The total return is__%. ​ (Round to one decimal​ place.)