1. Stana, Inc., has preferred stock outstanding that sells for $101.69 per share. If the required return is 4.05 percent, what is the annual dividend?
2. A yen futures contract settles 272 day from today. If spot yen is 97, the one year yen interest rate is 1% and the one year US interest rate is 3%, estimate the futures price you should find on the exchange. (assume a 365 day year). Write all the calculations needed to get the answer.
3. Red Sun Rising just paid a dividend of $1.95 per share. The company said that it will increase the dividend by 15 percent and 10 over the next two years, respectively. After that, the company is expected to increase its annual dividend at 2.9 percent. If the required return is 9.9 percent, what is the stock price today?