bond matures...current yield

a bond matures in 8 years and sells for 1030. the bond has a face value of 1000 and a yield to maturity of 11.41% the bond pays coupons semiannually. whats the bonds current yield?

stocks..current price..selling price

avery industries jsut paid a dividend of $2.00 per share (i.e.,D0=$2.00). analysts expect the company's dividend to grow 25% for the next 2 yrs and 15% for the following 3 years. After 5 years the dividend is expected to grow at a constant rate of 5%. the required rate of return on the company's stock is 12%. what should be the current price of the company's stock? what should the stock be selling for at the end of year 3?

weighted average cost of capital

jersey devil inc is estimating its WACC. its target capital structure is 20% debt, 20% preferred stock, and 60% equity. its bonds have a 12% coupon, paid semiannually, a current maturity of 20 yrs, and sell for $950. the firm could sell at par $100 preferred stock which pays a 12% annual dividend, but flotation costs of 5% would be incurred. Jersey Devil is a constant growth firm that just pais a dividend of $2.00 on its common stock selling for $27.00 per share. Jersey Devils constant growth rate is 8%. the firm is not expected to have to issue new common stock for its upcoming budget and therefore will rely on retained earnings for the 60% in equity that it will need. the firm marginal tax... click for more

bonds..max price

assume you wish to purchase a 25-year semiannual bond that has a maturity value of $1,000. the coupon rate is 8%. if you require a 10% yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?

beta

simons stock is currently selling for $40 a share. the stock is expected to pay a $2 dividend at the end of the year. the stock's dividend is expected to gorow at a constant rate of 7% a year forever. The risk free rate is 6% and the market risk premium is also 6%. what is the stock's beta?