Q:Krell Industries has a share price of $22.00 today. If Krell is expected to pay a dividend of $0.88 this year and its stock price is expected to growQ:NoGrowth Corporation currently pays a dividend of $0.50 per quarter, and it will continue to pay this dividend forever. What is the price per shareQ:Summit Systems will pay a dividend of $1.50 this year. If you expect Summit’s dividend to grow by 6% per year, what is its price per share if theQ:Dorpac Corporation has a dividend yield of 1.5%. Its equity cost of capital is 8%, and its dividends are expected to grow at a constant rate.a.Q:Laurel Enterprises expects earnings next year of $4 per share and has a 40% retention rate, which it plans to keep constant. Its equity cost ofQ:DFB, Inc., expects earnings this year of $5 per share, and it plans to pay a $3 dividend to shareholders. DFB will retain $2 per share of itsQ:Cooperton Mining just announced it will cut its dividend from $4 to $2.50 per share and use the extra funds to expand. Prior to the announcement,Q:Gillette Corporation will pay an annual dividend of $0.65 one year from now. Analysts expect this dividend to grow at 12% per year thereafter untilQ:Colgate-Palmolive Company has just paid an annual dividend of $0.96. Analysts are predicting an 11% per year growth rate in earnings over the nextQ:Halliford Corporation expects to have earnings this coming year of $3 per share. Halliford plans to retain all of its earnings for the next twoQ:Zoom Enterprises expects that one year from now it will pay a total dividend of $5 million and repurchase $5 million worth of shares. It plans toQ:AFW Industries has 200 million shares outstanding and expects earnings at the end of this year of $700 million. AFW plans to pay out 60% of itsQ:Suppose Cisco Systems pays no dividends but spent $5 billion on share repurchases last year. If Cisco’s equity cost of capital is 12%, and if theQ:You own a call option on Intuit stock with a strike price of $40. The option will expire in exactly three months’ time.a. If the stock is tradingQ:Maynard Steel plans to pay a dividend of $3 this year. The company has an expected earnings growth rate of 4% per year and an equity cost of capitalQ:Assume that you have shorted the call option in Problem 2.a. If the stock is trading at $55 in three months, what will you owe?b. If the stock isQ:If you own 15,000 shares of stock of Nike and it pays a dividend of $0.27 per share, then what is the total dividend you will receive?Q:You own a put option on Ford stock with a strike price of $10. The option will expire in exactly six months’ time.a. If the stock is trading at $8Q:Ovit, Inc., has preferred stock with a price of $20 and a dividend of $1.50 per year. What is its dividend yield?