UNIT
4: TEXTBOOK PROBLEMS
CHAPTER 10: PROBLEM 1
|
Beginning
Stock Price
|
$73
|
|
Ending
Stock Price
|
$82
|
|
Dividend
|
$1.20
|
|
Percentage
Total Return =
|
#NAME?
|
CHAPTER 10: PROBLEM 12
|
Stock
Return the past 5 years
|
-18.35%
|
14.72%
|
28.47%
|
6.48%
|
16.81%
|
|
Holding
Period Return for the Stock =
|
#NAME?
|
CHAPTER 10: PROBLEM 14
|
Price
of Preferred Stock Last Year
|
$94.83
|
|
Current
Price of Preferred Stock
|
$96.20
|
|
Preferred
Stock Dividend
|
4.20%
|
|
Face
Value of Preferred Stock
|
$100
|
|
Total
Return =
|
#NAME?
|
CHAPTER 10: PROBLEM 15
|
Stock
Price 3 Months Ago
|
$41.75
|
|
Current
Stock Price
|
$44.07
|
|
First
calculate the total return for the 3 months
|
#NAME?
|
|
Then
calculate the APR by multiplying the answer in cell B35 by 4
|
#NAME?
|
|
EAR
(Effective Annual Rate) =
|
#NAME?
|
CHAPTER 11: PROBLEM 2
|
Stock
A
|
$3,900
|
|
Stock
B
|
$5,700
|
|
Total
Value of the Portfolio
|
$9,600
|
|
Expected
Return on Stock A
|
9.50%
|
|
Expected
Return on Stock B
|
15.20%
|
|
Expected
Return on the Portfolio =
|
#NAME?
|
CHAPTER 11: PROBLEM 12
|
Beta
|
0.85
|
|
Expected
Return on the Market
|
11.50%
|
|
Risk-Free
Rate
|
3.40%
|
|
Expected
Return on the Stock =
|
#NAME?
|
CHAPTER 12: PROBLEM 1
|
Beta
|
1.21
|
|
Risk-Free
Rate
|
3.50%
|
|
Expected
Return on the Market
|
11%
|
|
Cost
of Equity =
|
#NAME?
|
CHAPTER 12: PROBLEM 5
|
Common
Stock weight
|
70%
|
|
Debt
weight
|
30%
|
|
Cost
of Equity
|
13%
|
|
Cost
of Debt
|
6%
|
|
Tax
Rate
|
35%
|
|
WACC
=
|
#NAME?
|
File name: UNIT 4 TEXTBOOK
PROBLEMS.xlsx File type: . xlsx PRICE:$15
