1. Why should the treasury issue callable bonds? When should they exercise their right to call or redeem the bonds? Why would corporations issue callable bonds? Why should investors want to buy callable bonds? Please give a detailed long answer.
2. Last year, Teresa's Fashions earned $2.03 per share and had 15,000 shares of stock outstanding. The firm paid a total of $16,672 in dividends. What is the retention ratio?
3. 123 Inc has a profit margin of 15%. its total asset turnover ratio is 2 and its dividend payout ratio is 60%. what is the company's internal growth rate?