The ASX 200 index is currently trading at 2325 points and is widely expected to pay a dividend (DPS1) equal to 135 points next year. At the same time, shares in MercedesF1 are trading at $78.55 and are expected to pay a dividend next year (DPS1) equal to $6.65. The consensus analyst forecast is that the growth rate of both MercedesF1 dividends and ASX 200 dividends will be 4.50% in perpetuity. The long-run risk-free rate is given as 5.25%. Assume that the market prices of the ASX 200 index and MercedesF1 are efficient.a)  The cost of equity (re) for the ASX 200 is ?b)  The market risk premium is ?c)  The cost of equity (re) for MercedesF1 is ?d)  The implied beta for MercedesF1 is ?

A company just paid an annual dividend of €1.25 per share. If the required annual rate of return is 14% and dividends are expected to grow indefinitely at a constant rate of 8%, the company’s intrinsic value per share is closest to:A.€16.88.B.€20.83.C.€22.50.

MercedesF1 currently has a dividend payout ratio of 100% which is expected to stay constant in perpetuity. MercedesF1's next year's dividend per share is expected to be equal to $12.20 and their cost of equity is equal to 12.00%. What is the intrinsic value of one share of stock equal to?Do not enter the $ sign in your answer.If you solve this problem with algebra, round any intermediate calculations to 6 decimal places.In all cases round your final answer to two decimal places, e.g. $8.723456, write 8.72

Continental Airlines just paid a dividend of $0.65. It is expected to increase its dividend by 1.55% per year. If the market's return on assets of this risk level is 12%, how much should the stock be selling for?Group of answer choices$6.32$6.22$5.42$5.98

DFB, Inc., expects earnings at the end of this year of $4.19 per share, and it plans to pay a $2.43 dividend at that time. DFB will retain $1.76 per share of its earnings to reinvest in new projects with an expected return of 15% per year. Suppose DFB will maintain the same dividend payout rate, retention rate, and return on new investments in the future and will not change its number of outstanding shares. a. What growth rate of earnings would you forecast for DFB? b. If DFB’s equity cost of capital is 12.2%, what price would you estimate for DFB stock today? c. Suppose DFB instead paid a dividend of $3.43 per share at the end of this year and retained only $0.76 per share in earnings. If DFB maintains this higher payout rate in the future, what stock price would you estimate now? Should DFB raise its dividend?

CL bookstore just paid a dividend of D0 = $1.35. Analysts expect the company’s dividend togrow by 30% this year, by 10% in year 2, and a constant rate of 5% in year 3 and thereafter. Therequired return on this low-risk stock is 9.00%. What is the best estimate of the stock’s currentmarket value?