Assume that you own 60 shares of common stock of a company, that you have been receiving cash dividends of $5 per share per year, and that the company has a 6-for-5 stock split Required: a. How many shares of common stock will you own after the stock split? b. What new cash dividend per share amount will result in the same total dividend income as you received before the stock split? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. c. What stock dividend percentage could have accomplished the same end result as the 6-for-5 stock split? a. Shares of common stock b. New cash dividend c. Stock dividend per share. %

McPherson Pharmaceutical has common stock that is trading for $75 per share. The company paid a dividend of $5.25 last year. This dividend is expected to increase at a rate of 3% per year. What is the cost of equity capital for McPherson? If McPherson issues new shares with a flotation cost of $2 per share, what is the company’s cost of new equity?(using excel formulas)

Suppose that you own 3,400 shares of Nocash Corp. and the company is about to pay a 25% stock dividend. The stock currently sells at $125 per share. a. What will be the number of shares that you hold after the stock dividend is paid? (Do not round intermediate calculations.) Number of shares b. What will be the total value of your equity position after the stock dividend is paid? (Do not round intermediate calculations.) Total value c. What will be the number of shares that you hold if the firm splits five-for-four instead of paying the stock dividend? (Do not round intermediate calculations.) Number of shares held

Suppose that you own 2,700 shares of Nocash Corp. and the company is about to pay a 15% stock dividend. The stock currently sells at $110 per share.What will be the number of shares that you hold after the stock dividend is paid?

Assume you own shares in Walmart and that the company currently earns $6.80 per share and pays annual dividend payments that total $5.55 a share each year. Calculate the dividend payout for Walmart. Note: Enter your answer as a percent rounded to 2 decimal places. Dividend payout %

11. On January 1, a shareholder purchased 81 shares of stock in Beta company for $115 per share. On August 20, the company paid an $8 dividend per share. On December 31, the shareholder sold all the shares for $113 per share. What is the overall Economic Rate of Return for this investment? a. 8.70% b. 6.96% c. 5.22% d. 5.31%

Preferred stock of Ford Motors pays a dividend of $5 each year and trades at a price of $30. What is the cost of preferred stock capital for Ford?

The balance sheet for Tempest, Inc., Is shown here in market value terms. There are 27,000 shares of stock outstanding. Market Value Balance Sheet Cash $ 117,000 489,960 Equity Fixed assets $606,960 Total $606,960 Total $606,960 The company has declared a dividend of $1.40 per share. The stock goes ex dividend tomorrow. Ignore any tax effects. a. What is the stock selling for today? (Do not round intermedlate calculatlons and round your answer to 2 decimal places, e.g., 32.16.) b. What will it sell for tomorrow? (Do not round Intermedlate calculatlons and round your answer to 2 decimal places, e.g., 32.16.) a. Stock price today b. Stock price tomorrow c. What will the balance sheet look like after the dividends are pald? (Do not round Intermedlate calculations and round your answers to the nearest whole number, e.g., 32.) Cash Fixed assets Equity Total Total

(Cost of preferred stock) The preferred stock of Walter Industries Inc. currently sells for $35 13 a share and pays $2.45 in dividends annually. What is the firm's cost of capital for the preferred stock? GILLE The firm's cost of capital for the preferred stock is% (Round to two decimal places)