1) A stock pays a dividend of $10 per share. It has a cost of capital, K of 8%. It has a constant growth rate of 3%. Use the Constant Dividend Growth model to calculate it’s current price. 2) A stock . is about to go public and listed on the Nasdaq. Using the following information calculate it’s stock price. a. A comparable stock has a beta of 1.5. b. The current risk free rate is 2% and the return on the Nasdaq is 8%. c. The company’s Free Cash flowis going to grow at 30% per year for the next three years. d. The long term growth rate after three years will be 5%. e. It pays a dividend of 20% of Free Cash Flows at the moment. The current free cash flow for the company is $ 10 per share.

Suppose the marginal damage and marginal benefit curves in a polluted neighborhood are md = p/3 and mb = 4 – p. also, suppose that transactions costs are low, so that the consumers and the firm can bargain. we saw that in this case, the socially-optimal level of pollution is achieved. start by computing the socially-optimal p. then, for each of the following cases, compute the amount of money transferred through the bargaining process, and indicate who pays whom (i. e., whether consumers pay the firm, or vice versa). also, compute the gains to each party relative to the status quo (i. e., the starting point of the bargaining process).a)consumers have the right to clean air; firm is dominant in the bargaining process. b)consumers have the right to clean air; consumers are dominant in the bargaining process. c)firm has the right to pollute; firm is dominant in the bargaining process. d)firm has the right to pollute; consumers are dominant in the bargaining proces

Calculate the required rate of return for climax inc., assuming that (1) investors expect a 4.0% rate of inflation in the future, (2) the real risk-free rate is 3.0%, (3) the market risk premium is 5.0%, (4) the firm has a beta of 2.30, and (5) its realized rate of return has averaged 15.0% over the last 5 years. do not round your intermediate calculations.

Which of the following statements is incorrect? select one: a. personal creditors have first claim on partnership assets. b. partnerships are subject to dual taxation. c. no law requires partners to create a written partnership agreement, but it's smart to do so. d. partnership has limited life and unlimited liability.