A firm has experienced a constant annual rate of dividend gr…

A firm has experienced a constant annual rate of dividend growth of 9 percent on its common stock and expects the dividend per share in the coming year to be $2.70. The firm can earn 12 percent on similar risk involvements. The value of the firm’s common stock is ________.

Patrick Company expects to generate free-cash of $120,000 pe…

Patrick Company expects to generate free-cash of $120,000 per year forever. If the firm’s required return is 12 percent, the market value of debt is $300,000, the market value of preferred stock is $70,000, and the company has 100,000 shares of stock outstanding. What is the value of Patrick’s stock?

Ted Corporation expects to generate free-cash flows of $200,…

Ted Corporation expects to generate free-cash flows of $200,000 per year for the next five years. Beyond that time, free cash flows are expected to grow at a constant rate of 5 percent per year forever. If the firm’s average cost of capital is 15 percent, the market value of the firm’s debt is $500,000, and Ted has a half million shares of stock outstanding, what is the value of Ted stock?

You are an epidemiologist for the state of Florida and are t…

You are an epidemiologist for the state of Florida and are trying to determine which county to use to record a case of human rabies. The person contracted the virus in Putnam County and lives in Putnam County, but was treated and tested in Alachua County. For surveillance purposes, which county would you choose to record as having had a human case of rabies?