You expect the price of ABC stocks to be $75 per share a year from now. its current market price is $ 60, and you expect

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answerhappygod
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You expect the price of ABC stocks to be $75 per share a year from now. its current market price is $ 60, and you expect

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You expect the price of ABC stocks to be $75 per share a yearfrom now. its current market price is $ 60, and you expect it topay a dividend one year from now of $ 30.5 per share :
a) what are the stocks expected dividend yield, rate of priceappreciation, and expected holding period return?
b) if the stock has a beta of 1.2 the risk free is 5% per year,and the expected rate of return on the market portofio is 15% peryear, whar is the required rate of return on ABC stock
c) what is the intrinsic value of ABC stock. and how does itcompare to the current market price?
One-, two-, and three-year maturity, default-free, zero-couponbonds have yields to maturity of 7%, 8%, and 9%, respectively. Whatis the implied 1-year forward rate 1 year from today?
The price of a bond (with par value of $1,000) at the beginningof a period is $980 and at the end of the period is $975. What isthe holding-period return if the annual coupon rate is4.5%?
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