1. Annual dividends of Verizon grew from $1.25 in 2010 to $2.47 in 2016. Assuming that this growth rate will continue into to future, what is the value of Verizon's stock if the required return is 15 percent.
2. Calculate the short-rate premium and refund of the following: Annual premium Canceled after Short-rate premium Refund $480 5 months by insurance company $ $
3. Assume that you are interested in a zero-coupon bond. If the market interest rate is 8 percent, and it matures in twenty years, what should the price of the bond be?