A) ABC Company's last dividend was $3.7. The dividend growth rate is expected to be constant at 9% for 3 years, after which dividends are expected to grow at a rate of 4% forever. The firm's required return (rs) is 16%. What is its current stock price (i.e. solve for Po)?
B) ABC Company has the following projected sales: Month Sales $ Jan 32,228 Feb 14,571 Mar 15,182 Apr 24,341 29% of the sales are on cash and the remainder are on credit. Out of the credit sales, 53% are collected in the first month after sale, 13% are collected in the second month after sale, and the remainder are collected in the third month after sale. What is the amount of the April collections?
C) ABC Company has the following projected sales: Month Sales $ April 42,236 May 49,764 June 28,807 July 45,368 ABC collects 63 percent of its sales in the month of sale, 20 percent in the month following the month of sale, and another 3 percent in the second month following the month of sale. The remainder is bad debts and is not collected. What is the amount of the July collections?