1. What is the connection between the value of shares and dividend in finance?
2. Compute the real rate of return given the following:
The Prime rate is 7%, the FED funds rate is 5%, 90 day T-Bills are yielding 3%, the average return on all stocks traded on the NYSE is 12%.
Please show step-by-step solution.
3. Annual dividends of AT&T Corp (T) grew from $0.96 in 2000 to $1.33 in 2006. What was the annual growth rate? (Round your answer to 2 decimal places.)
Annual Growth Rate %