Matilda Industries pays a dividend of $2.15 per share and is expected to pay this amount indefinitely. If Matilda's equity cost of capital is 10%, which of the following would be expected to be closest to Matilda's stock price?

Q: NoGrowth Industries presently pays an annual dividend of $1.00 per share and it is expected that…

A: Annual dividend = $ 1.00 Cost of equity = 10%

Q: Alibaba Group has a share price of $25 today. If Alibaba Group is expected to pay a dividend of…

A: Given Information :  Current Share Price = $25 Expected Dividend Per Share = $0.75  Growth in stock…

Q: Growth Company's current share price is $19.95, and it is expected to pay a $1.00 dividend per share…

A:

Q: Maliban PLC just paid a dividend of Rs.5/= per share and it is expected to grow at a rate of 8% per…

A: Cost of equity means the rate of return expected by investor or we can say the rate of return. Cost…

Q: NoGrowth Corporation currently pays a dividend of $2.08 per​ year, and it will continue to pay this…

A: Cost of Equity: It is the cost of the company while raising finance by issuing equity. It is…

Q: Bates, Inc. pays a dividend of $1 and is currently selling for $32.50. If investors require a 12…

A: We need to compute the growth rate in the given question. We can compute the growth rate using…

Q: OwenInc has a current stock price of $14.70 and is expected to pay a $0.75 dividend in one year. If​…

A: Intrinsic Value for Stock is discounted value of all future benefits computed using required return…

Q: Summit Systems will pay an annual dividend of $1.59 this year. If you expect Summit's dividend to…

A: Gordon dividend growth model is used to value a stock who's dividends are expected to grwo at a…

Q: Bates, Inc. pays a dividend of $1.00 and is currently selling for $32.50. If investors require a 12%…

A: Calculation of growth rate: Answer: Growth rate is 8.66%

Q: Summit Systems will pay a dividend of $1.48 this year. If you expect​ Summit's dividend to grow by…

A: Expected dividend (D1) = $1.48 Growth rate (g) = 5.3% Cost of capital (r) = 10.7%

Q: Anle Corporation has a current stock price of 21.36 and is expected to pay a dividend of $1.15 in…

A: The stock is a financial instrument issued by a corporate entity to raise equity funds. The…

Q: NoGrowth Corporation currently pays a dividend of $0.44 per​ quarter, and it will continue to pay…

A: Annual dividend (D) = $0.44 Cost of capital (r) = 15.5%

Q: NoGrowth Corporation currently pays a dividend of $0.56 per​ quarter, and it will continue to pay…

A: Given: Dividend = $0.56 Equity cost of capital = 13.6%

Q: BM expects to pay a dividend of $8 next year and expects these dividends to grow at 3.15% a year.…

A: IBM Share Price = Dividend Next Year / (Cost of Equity - Growth Rate)

Q: Oregano Inc. estimates that this year’s earnings will be $75 million. There are 12 million shares…

A: A dividend is a payment made to shareholders by publicly traded firms, and it is derived from the…

Q: The GiN Corp. is expected to pay a dividend of $3 which is expected to grow at 2% for a foreseeable…

A: GIVEN, d1=$3g=2%P0=$40n=10 par=$1000coupon =$80de=0.4tax =30%

Q: NoGrowth industries presently pays an annual dividend of £1.50 per share and it is expected that…

A: Given Information :  Annual Dividend = Pound 1.50 Equity cost of capital = 12%

Q: What is the company’s weighted average cost of capital (WACC) if all the equity used is from…

A: Weighted Average Cost of Capital is the summation of Weighted average of equity and debt in…

Q: NoGrowth Industries presently pays an annual dividend of $1.50 per share and it is expected that…

A: Annual dividend = D = $1.50 Equity cost of capital = Ke = 0.12 or 12%   We will use dividend…

Q: Krell Industries has a share price of $21.88 today. If Krell is expected to pay a dividend of…

A: The stock price which is the maximum price to be paid for share consists of dividends and terminal…

Q: Krell Industries has a share price of $21.52 today. If Krell is expected to pay a dividend of $0.67…

A: Current stock price (P0)  = $21.52 Expected next dividend (D1) = $0.67 Stock price at the end of…

Q: Jumbuck Exploration has a current stock price of $2.90 and is expected to sell for $3.05 in one​…

A: Given information: Current stock price is $2.90 Expected to sell after one year is $3.05 Expected…

Q: NoGrowth Corporation currently pays a dividend of $2 per year, and it will continue to pay this…

A: Cost of equity: The cost of equity is the minimum rate of return that an investor expects while…

Q: Salsa Inc. estimates that this year’s earnings will be $75 million. There are 12 million shares…

A: a) Earning per share = Yearly earnings / Number of shares = 75,000,000 / 12,000,000 = $ 6.25…

Q: the value of a share of​ NoGrowth's stock is closest​ to:

A: Stock refers to the total amount of capital which is raised by the corporations by the issue of…

Q: XYZ company's common shares are selling for P30.00 per share, and the company expects to set its…

A: Price of share (P0) = P30.00 Next dividend (D1) = P1.50 Growth rate (g) = 6% Flotation cost (F) =…

Q: NoGrowth Corporation currently pays a dividend of $2.00 per​ year, and it will continue to pay this…

A: Cost of Equity: It is the cost of the company while raising finance by issuing equity. It is…

Q: Gremlin Industries will pay a dividend of $1.65 per share this year. It is expected that this…

A: In the question, the value of the dividend to be paid, the growth rate and the stock price are…

Q: In early​ 2018, Coca-Cola Company​ (KO) had a share price of $43.36​, and had paid a dividend of…

A: Solution:- Companies pay a part of their earnings to shareholders, which is known as dividend. Now,…

Q: Eastern Electric currently pays a dividend of about $1.96 per share and sells for $33 a share. a. If…

A: The cost that a company is willing to pay to raise the fund for the business operations of the…

Q: what is Krell’s dividend yield and equity cost of capital?

A: Information Provided: Current price = $22 Dividend = $0.88 Expected stock price = $23.54

Q: Zoom Enterprises expects that one year from now it will pay a total dividend of $5.1 million and…

A: Repurchase of shares from investors and paying dividends to investors will have same effect to…

Q: which of the following would be expected to be closest to​ Matilda's stock​ price?

A: Stock valuation is the method of finding the the value of the stock of a company. The present…

Q: Deluxe Company expects to pay a dividend of $2 per share at the end of year 1. $3 per share at the…

A: The share price is the current market price of the share. It is the price of the share at any…

Q: g​ Nike's stock price is​ $68 per​ share, shares outstanding are​ $1,600 million, and the company…

A: Company need money and they can raise from the market by issue of new shares but how many shares to…

Q: Spacefood Products will pay a dividend of $2.15 per share this year. It is expected that this…

A: Expected Divided (D1) = $2.15Cost of Equity (Ke) = 14%Growth Rate (g) = 6% Calculation of Current…

Q: ABC Inc. is expected to pay a $2.50 dividend at year end (D1 = $2.50), the dividend is expected to…

A: WACC = (Ke * We) + (Kd * Wd) Ke = Cost of equity Kd = Cost of debt We = Weight of equity Wd = Weight…

Q: NoGrowth Corporation currently pays a dividend of $2.24 per​ year, and it will continue to pay this…

A: Price per share is present value of dividends

Q: Matilda Industries pays a dividend of $2.50 per share and is expected to pay this amount…

A: In the given question we require to calculate the stock price of matilda from following details:…

Q: RAFA Corp. is considering to issue new shares with a par value of P1,000, issue price of P1,200 and…

A: Answer-11.619 Solution is included below

Q: Jumbuck Exploration has a current stock price of $2.10 and is expected to sell for $2.21 in one…

A: Current stock price (P0) = $2.10 Expected price after 1 year (P1) = $2.21 Dividend (D) = $0.27

Q: Anle Corporation has a current stock price of $19.63 and is expected to pay a dividend of $0.75 in…

A: Given, Stock price after paying dividend (P1) = $21.45 Dividend (D) = $0.75 Current stock price (P0)…

Q: Dreamline expects to earn $20 per share this year and intends to pay out $8 in dividends to…

A: The percentage of profits held in the company as retained earnings is known as the retention ratio.…

Q: You expect that Bean Enterprises will have earnings per share of​ $2 for the coming year. Bean plans…

A: Dividend per share refers to the amount of the net income which is paid to the equity shareholders.…

Q: NoGrowth Corporation currently pays a dividend of $1.72 per​ year, and it will continue to pay this…

A: Solution:- Companies pay a part of their earnings to shareholders, which is known as dividend.…

Q: Anle Corporation has a current stock price of $19.49 and is expected to pay a dividend of $1.25 in…

A: Equity cost of capital = (Expected stock price after dividend + Dividend - Current stock price) /…

Q: Matilda Industries pays a dividend of $2.45 per share and is expected to pay this amount…

A: Given: Dividend = $2.45 Cost of capital = 9%