1. If a firms debt-to-equity ratio is 0.4 , what is its total debt to total asset ratio? Show your answer to the nearest .1%. If your answer is 45.6%, enter your answer as 45.6 rather than 45.6% or .456.
2. The preferred stock of Apple Tree Pays an annual dividend of $2 in perpetuity beginning next year. If you purchased a share of stock for $22.34 and never sell, then what is your annual rate of return? (Use financial calculator inputs)