1. Suppose that today's stock price is $32.3. If the required rate on equity is 18.4% and the growth rate is 9.9%, compute the expected dividend (i.e. compute D1)
2. A company sells 138,277 units per year. Fixed costs per order are $156 and carrying cost is $37 per unit per year. What is the Economic Order Quantity?
3. You buy a bond for $946 that has a coupon rate of 5.40% and a maturity of 7 years. A year later the bond price was $1056. FV $1000 and annual coupon payments. what is your rate of return over the year?