Statistics-AW-Q400 Online Services
4.ABC Corp. has just paid an annual dividend of $0.50 per share. Dividends are expected to grow at 15% for each of the next 8 years, at 10% for the 2 years after that, and at 3% thereafter. If the appropriate discount rate is 10%, what is the intrinsic value of the stock? Clue start with a stream of discounted dividends and price the stock.
The timeline for the dividends looks like this (split to fit on the page):
0 1 2 3 4 5 6 7
| | | | | | | |
| | | | | | | |
8 9 10 11 12
| | | | |
| | | | |
5. You are a research analyst for a major investment bank and have been asked to evaluate three candidates for a takeover and recommend one. You estimate the risk-free rate to be 5% and the market risk premium to be 8%. You also have the following data
MTT Corp. NOR Corp. TECH Corp.
current price $20 $25 $200
number shares 100,000 80,000 10,000
current EPS $4 $2.50 $5
payout ratio 50% 20% 10%
(first 5 yrs)
beta 1.0 1.25 1.5
first 5 yrs. 5% 20% 50%
beyond 5 yrs. 5% 10% 10%
D/E ratio 0 0 0
first 5 yrs. 10% 25% 55.56%
beyond 5 yrs. 10% 20% 25%
You can read more about our case study assignment help services here.
How it Works
How It works ?
Step 1:- Click on Submit your Assignment here or shown in left side corner of every page and fill the quotation form with all the details. In the comment section, please mention Case Id mentioned in end of every Q&A Page. You can also send us your details through our email id firstname.lastname@example.org with Case Id in the email body. Case Id is essential to locate your questions so please mentioned that in your email or submit your quotes form comment section.
Step 2:- While filling submit your quotes form please fill all details like deadline date, expected budget, topic , your comments in addition to Case Id . The date is asked to provide deadline.
Step 3:- Once we received your assignments through submit your quotes form or email, we will review the Questions and notify our price through our email id. Kindly ensure that our email id email@example.com and firstname.lastname@example.org must not go into your spam folders. We request you to provide your expected budget as it will help us in negotiating with our experts.
Step 4:- Once you agreed with our price, kindly pay by clicking on Pay Now and please ensure that while entering your credit card details for making payment, it must be done correctly and address should be your credit card billing address. You can also request for invoice to our live chat representatives.
Step 5:- Once we received the payment we will notify through our email and will deliver the Q&A solution through mail as per agreed upon deadline.
Step 6:-You can also call us in our phone no. as given in the top of the home page or chat with our customer service representatives by clicking on chat now given in the bottom right corner.
We use best scientific approach to solve case study as recommended and designed by best professors and experts in the World. The approach followed by our experts are given below:
The first step in solving any case study analysis is to define its problem carefully. In order to do this step, our experts read the case two three times so as to define problem carefully and accurately. This step acts as a base and help in building the structure in next steps.
The second step is to define structure to solve the case. Different cases has different requirements and so as the structure. Our experts understand this and follow student;s university guidelines to come out with best structure so that student will receive best mark for the same.
Research and Analysis
This is the most important step which actually defines the strength of any case analysis. In order to provide best case analysis, our experts not only refer case materials but also outside materials if required to come out with best analysis for the case.
Conclusion & Recommendations
A weak conclusion or recommendations spoil the entire case analysis. Our expert know this and always provide good chunks of volume for this part so that instructors will see the effort put by students in arriving at solution so as to provide best mark.
- Physics Assignment Help
- Chemistry Assignment Help
- Engineering Assignment Help
- Psychology Assignment Help
- Online exam Help
- Marketing Assignment Help
- Arts Assignment Help
- Sociology Assignment Help
- Project Management Assignment
- Case Study Help
- Nursing Assignment Help
- Research Assignment Help
- Operations Management Assignment help
- Accounting Assignment Help
- Biology Assignment Help
- Mathematics Assignment Help
- English Assignment Help
- Business Plan Help
- Essay Writing Help
- Human Resource Assignment Help
- Accounting Homework Help
- Computer Science Assignment Help
- Finance Assignment Help
- Economics Assignment Help
- Statistics Homework Help
- Management Assignment Help
- Strategy Management Assignment Help
- Auditing Assignment Help
- Information Management Assignment Help
- Online Assignment Writing help
- Humanities Assignment help
- Taxation Homework Help
- Corporate Finance Assignment Help
- Financial Management Assignment Help
Which firm is the best candidate for a takeover?Clue calculate intrinsic value and overvaluation/undervaluation using relevant metrics like Gordon Shapiro model, constant dividend growth model etc.
6. It is now time 0. You are a bond portfolio manager using a barbell strategy to immunize. Your portfolio will consist of two bonds: bond A, which is a $100 par zero coupon bond maturing in five years; bond B, which is a $100 par zero-coupon bond maturing in ten years. You are trying to immunize a $1 million liability that is due in six years. The yield curve is flat at 10%, so you need a present value of $1 million/(1.10)6 = $564,474.
a. Of the $564,474, how much will you put in bond A and how much will you put in bond B? How many of the A and B bonds will you buy?
b. One minute after you set up the portfolio, the yield curve shifts up to 15% (staying flat). How much is your portfolio worth?
c. After the shift in part b, is your liability immunized? If not, what should you do to immunize it? Be specific, and give numbers if you can.
d. Now assume that the shift in part b never happened. You leave the firm and nobody bothers to look at the portfolio again until the end of year 4. Interest rates are still at 10%; there have been no further changes. At the end of year 4, a new bond portfolio manager takes over, goes through the files, and finds the records of the portfolio. What, if anything, will she have to do to keep the liability immunized? Be specific, and give numbers if you can.
7.Consider the following data for a stock and a call option on that stock: S0 = $50, S1 = $75 or $100, E = $50, and r = 1.10. Derive the hedge ratio (α) and the price of the call option
Looking for best Statistics-AW-Q400 online ,please click here