1. A company paid dividends of $3.70 per share in? 2009, and just announced that it will pay $9.69 in 2016. Estimate the compound annual growth rate of the dividends.
2. You invest $9,800 in stock $120, $131, $131, $120 in dividends over the following 4 years. At the end of the 4 years you sell the stock for $15,000. What was the IRR on this investment?
3. Suppose that a savings account pays a nominal rate of interest of 8.4 percent convertible daily. What is the equivalent semiannual interest rate?