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lawyer [7]
4 years ago
11

Smiling Elephant, Inc., has an issue of preferred stock outstanding that pays a $6.40 dividend every year, in perpetuity. If thi

s issue currently sells for $80.80 per share, what is the required return? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Required return %
Business
1 answer:
Alina [70]4 years ago
7 0

Answer:

7.92%

Explanation:

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If the firm’s beta is 1.6, the risk-free rate is 9%, and the average return on the market is 13%, what will be the firm’s cost o
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CAPM= RF+B(RM-RF)

= 9+1.6(13-9)

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13=RS+1.6*(4)

13=RS+6.4

RS=13-6.4

RS=6.6%

Explanation:

3 0
3 years ago
Sales at a fast-food restaurant average $6,000 per day. The restaurant decided to introduce an advertising campaign to increase
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Yes

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3 years ago
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fgedilbvxAnswer:

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8 0
3 years ago
What information is important when choosing a healthcare plan?
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I hope it helped you!
8 0
3 years ago
Which of these countries have a command economy A.cuba b.united states c.france or d. india
EastWind [94]
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