公司理財(cái)期末789選擇題

1、1. What is the n ame give n to the model that computes the prese nt value of a stock by dividi ng n extyears ann ual divide nd amount by the differe nee betwee n the disco unt rate and the rate of cha ngein the ann ual divide nd amount?A. Stock prici ng modelB. Equity pric ing modelC. Capital gain m

2、odelD. Divide nd growth modelE. Prese nt value modelRefer to sect ion 7.1.Blooms: Kno wledgeDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model2. The divide nd yield is defi ned as:A. the cur

3、re nt ann ual cash divide nd divided by the curre nt market price per share.B. the curre nt annual cash divide nd divided by the curre nt book value per share.C. n ext years expected cash divide nd divided by the curre nt market price per share.D. n ext years expected cash divide nd divided by the c

4、urre nt book value per share.E. next years expected cash divide nd divided by next years expected market price per share.Refer to sect ion 7.1.Blooms: Kno wledgeDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: D

5、ivide nd yield3. The capital gains yield equals which one of the follow ing?A. Total yieldB. Current disco unt rateC. Market rate of returnD. Divide nd yieldE. Divide nd growth rateRefer to sect ion 7.1.Blooms: Kno wledgeDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on

6、future divide nds and divide nd growth.Sectio n: 7.1Topic: Capital gains yield4. Which one of the following types of securities has no priority in a bankruptcy proceeding?A. Con vertible bondB. Senior debtC. Common stockD. Preferred stockE. Straight bo nd24. Which one of the followi ng will in creas

7、e the curre nt value of a stock?A. Decrease in the divide nd growth rateB. I ncrease in the required returnC. In crease in the market rate of retur nD. Decrease in the expected divide nd for next yearE. In crease in the capital gains yieldReview sect ion 7.1.Blooms: Comprehe nsionDifficulty: In term

8、ediateLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Stock valuati on25. The price of a stock at year 4 can be expressed as:A. Do / (R + GJ.B. Do (1 + R)5.5C. D1(1 + R).D. D(R-g).E. D5/(R-g).Refer to sect ion 7.1.Blooms: Kno w

9、ledgeDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model26. Delfi nos expects to pay an annual divide nd of $1.50 per share n ext year. What is the an ticipated divide nd for year 5 if the fi

10、rm in creases its divide nd by 2 perce nt annu ally?1A. $1.50(1.02)2B. $1.50(1.02)3C. $1.50(1.02)4D. $1.50(1.02)5E. $1.50(1.02)Refer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7

11、.1Topic: Divide nd growth27. The required return on a stock is equal to which one of the followi ng if the divide nd on thestock decreases by 1 perce nt per year?A. (Po/D1)-gB. (D1/Po)/gC. Divide nd yield + capital gains yieldD. Divide nd yield - capital gains yieldE. Divide nd yieldcapital gains yi

12、eldRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Required retur n28. Donuts Delite just paid an annual divide nd of $1.10 a share. The firm expects to in crease thi

13、s divide nd by 8 perce nt per year the follow ing 3 years and the n decrease the divide nd growth to 2 perce nt annu ally thereafter. Which one of the followi ng is the correct computati on of the divide nd for year 7?A. ($1.10) (1.083) (1.024)B. ($1.10) (1.083) (1.023)34C. ($1.10) (1.08) (1.02)33D.

14、 ($1.10) (1.08) (1.02)32E. ($1.10) (1.08) (1.02)Refer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth31. The divide nd growth model can be used to value th

15、e stock of firms which pay which type ofdivide nds?29. Aardvark, Inc. pays a con sta nt annual divide nd. At the end of trad ing on Wedn esday, the priceof its stock was $28. At the end of tradi ng on the followi ng day, the stock price was $27. As aresult of the decli ne in the stocks price, the di

16、vide nd yieldwhile the capital gains yieldA. rema ined con sta nt; rema ined con sta ntB. in creased; rema ined con sta ntC. in creased; in creasedD. decreased; rema ined con sta ntE. decreased; decreasedRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess h

17、ow stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd and capital gain yield30. Which one of the follow ing must equal zero if a firm pays a con sta nt annual divide nd?A. Divide nd yieldB. Capital gains yieldC. Total returnD. Market value per shareE. Book v

18、alue per shareRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Capital gains yieldI. con sta nt annual divide ndII. annual divide nd with a con sta nt in creas ing rat

19、e of growthIII. annual divide nd with a con sta nt decreas ing rate of growthIV. zero divide ndA. I o nlyB. II o nlyC. II and III o nlyD. I, II, and III o nlyE. I, II, III, and IVRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd o

20、n future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model32. Kate owns a stock with a market price of $31 per share. This stock pays a con sta nt annual divide nd of $0.60 per share. If the price of the stock sudde nly in creases to $36 a share, you would expect the:I. divi

21、de nd yield to in crease.II. divide nd yield to decrease.III. capital gains yield to in crease.IV. capital gains yield to decrease.A. I o nlyB. II o nlyC. III on lyD. I and III o nlyE. II and IV onlyRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how st

22、ock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd and capital gain yield33. Computi ng the prese nt value of a grow ing perpetuity is most similar to computi ng the curre ntvalue of which one of the follow ing?A. Non-divide nd-pay ing stockB. Stock with a con

23、 sta nt divide ndC. Stock with irregular divide ndsD. Stock with a con sta nt growth divide ndE. Stock with grow ing divide nds for a limited period of timeRefer to sect ion 7.1.Blooms: Comprehe nsionDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and

24、 divide nd growth.Sectio n: 7.1Topic: Grow ing perpetuity34. Jensen Shipp ing has four ope n seats on its board of directors. How many shares will a shareholder n eed to con trol to en sure that his or her can didate is elected to the board give n the fact that the firm uses straight voting? Assume

25、one share equals one vote.A. 20 perce nt of the shares plus one voteB. 25 perce nt of the shares plus one voteC. 1/3 of the shares plus one voteD. 50 perce nt of the shares plus one voteE. 51 perce nt of the shares plus one vote51. Keller Metals com mon stock is selli ng for $36 a share and has a di

26、vide nd yield of 3.2 perce nt. What is the divide nd amount?A. $0.32B. $1.15C. $3.49D. $11.25E. $11.52Divide nd = 0.032$36 = $1.15AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic:

27、 Divide nd amount52. The Glass Ceil ing paid an ann ual divide nd of $2.20 per share last year. Man ageme nt just announ ced that future divide nds will in crease by 2.8 perce nt annu ally. What is the amount of the expected divide nd in year 5?A. $2.39B. $2.41C. $2.46D. $2.53E. $2.585D5 = $2.20(1.0

28、28) = $2.53AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd amount55. The com mon stock of Gree n Garde n Flowers is selli ng for $24 a share. The compa ny pays acon st

29、a nt annual divide nd and has a total retur n of 3.8 perce nt. What is the amount of thedivide nd?A. $7.86B. $8.33C. $10.87D. $11.04E. $11.38P = $1.25/0.15 = $8.33AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and div

30、ide nd growth.Sectio n: 7.1Topic: Con sta nt divide nd54. Shoreli ne Foods pays a con sta nt annual divide nd of $1.60 a share and curre ntly sells for $28.50 a share. What is the rate of return?A. 4.56 perce ntB. 5.39 perce ntC. 5.61 perce ntD. 6.63 perce ntE. 6.91 perce ntR = $1.60/$28.50 = 5.61 p

31、erce ntAACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Con sta nt divide ndA. $0.38B. $0.76C. $0.91D. $1.38E. $1.54D = 0.038$24 = $0.91AACSB: An alyticBlooms: An alysisDifficult

32、y: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Total return56. Healthy Foods just paid its annual divide nd of $1.45 a share. The firm rece ntly announ ced that all future divide nds will be in creased by 2.8 perce nt

33、ann ually. What is one share of this stock worth to you if you require a 14 perce nt rate of retur n?A. $12.56B. $12.95C. $13.31D. $13.68E. $14.07Po = ($1.451.028)/(0.14 - 0.028) = $13.31AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on f

34、uture divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model57. Plastics, Inc. will pay an annual divide nd of $1.85 n ext year. The compa ny just announced that future divide nds will be in creas ing by 2.25 perce nt annu ally. How much are you willi ng to pay for one share of t

35、his stock if you require a 16 perce nt retur n?A. $13.45B. $13.61C. $13.76D. $14.02E. $14.45Po = $1.85/(0.16 - 0.0225) = $13.45AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Di

36、vide nd growth model58. The Printing Company stock is selling for $32.60 a share based on a 14 percent rate of return. What is the amount of the next ann ual divide nd if the divide nds are in creas ing by 2.5 perce nt annu ally?A. $3.48B. $3.52C. $3.57D. $3.66E. $3.75$32.60(0.14 - 0.025) = $3.75AAC

37、SB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model61. Klaus Toys just paid its annual divide nd of $1.40. The required retur n is 16 perce nt and thedivide nd g

38、rowth rate is 2 perce nt. What is the expected value of this stock five years from now?A. $2.58B. $2.61C. $2.64D. $2.67E. $2.70$33(0.09 - 0.01) = $2.64AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growt

39、h.Sectio n: 7.1Topic: Divide nd growth model60. Delph ins Mari na is expected to pay an ann ual divide nd of $0.58 next year. The stock is sell ing for $8.53 a share and has a total return of 12 perce nt. What is the divide nd growth rate?A. 3.82 perce ntB. 4.03 perce ntC. 4.28 perce ntD. 5.20 perce

40、 ntE. 5.49 perce ntg = 0.12 - ($0.58/$8.53) = 5.20 perce ntAACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth modelA. $11.04B. $11.26C. $11.67D. $12.41E. $12.58P5

41、= $1.40(1 + 0.02)6/(0.16 - 0.02) = $11.26AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model62. This morning, you purchased a stock that will pay an annual di

42、vide nd of $1.90 per share next year. You require a 12 perce nt rate of retur n and the annual divide nd in creases at 3.5 perce nt annually. What will your capital gain be on this stock if you sell it three years from now?A. $2.43B. $2.51C. $2.63D. $2.87E. $2.92Po = $1.90/(0.12 - 0.035) = $22.353P3

43、 = $1.90(1.035) /(0.12 - 0.035) = $24.78Capital gain = $24.78 - $22.35 = $2.43AACSB: An alyticBlooms: An alysisDifficulty: In termediateLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Capital gain63. Blackwell Ink is los ing si

44、g ni fica nt market share and thus its man agers have decided to decrease the firms annual divide nd. The last annual divide nd was $0.90 a share but all future divide nds will be decreased by 5 perce nt annu ally. What is a share of this stock worth today at a required retur n of 15 perce nt?A. $4.

45、07B. $4.28C. $4.49D. $4.72E. $4.95Po = ($0.90(1 - 0.05)/0.15 - (-0.05 = $4.28AACSB: An alyticBlooms: An alysisDifficulty: In termediateLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model64. Lamey Headst ones

46、in creases its annual divide nd by 1.5 perce nt annu ally. The stock sells for $28.40 a share at a required retur n of 14 perce nt. What is the amount of the last divide nd this compa ny paid?A. $3.50B. $3.55C. $3.60D. $3.65E. $3.70$28.40 = (D01.015)/(0.14 - 0.015); D 0 = $3.50AACSB: An alyticBlooms

47、: An alysisDifficulty: In termediateLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model65. The com mon stock of Tasty Treats is valued at $10.80 a share. The compa ny in creases its divide nd by 8 perce nt an

48、nu ally and expects its n ext divide nd to be $0.20 per share. What is the total rate of return on this stock?A. 8.64 perce ntB. 9.12 perce ntC. 9.40 perce ntD. 9.85 perce ntE. 10.64 perce ntR = ($0.20/$10.80) + 0.08 = 9.85 perce ntAACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objectiv

49、e: 07-01 Assess how stock prices depe nd on future divide nds and divide nd growth.Sectio n: 7.1Topic: Total return66. River Rock, In c. just paid an annual divide nd of $2.80. The compa ny has in creased itsdivide nd by 2.5 perce nt a year for the past ten years and expects to con ti nue doing so.

50、What will a share of this stock be worth six years from now if the required return is 16 percent?A. $23.60B. $24.65C. $25.08D. $25.50E. $26.90P6 = ($2.801.0257)/(0.16 - 0.025) = $24.65AACSB: An alyticBlooms: An alysisDifficulty: BasicLear ning Objective: 07-01 Assess how stock prices depe nd on futu

51、re divide nds and divide nd growth.Sectio n: 7.1Topic: Divide nd growth model67. The Cart Wheel pla ns to pay an annual divide nd of $1.20 per share n ext year, $1.00 per share a year for the followi ng two years, and the n cease pay ing divide nds altogether. How much is one share of this stock wor

52、th to you today if you require a 17 perce nt rate of retur n?A. $2.38B. $2.43C. $2.56D. $2.60E. $2.64123P0 = ($1.20/1.17 ) + ($1/1.17 ) + ($1/1.17 ) = $2.38AACSB: An alyticBlooms: An alysisDifficulty: In termediateLear ning Objective: 07-01 Assess how stock prices depe nd on future divide nds and di

53、vide nd growth.Sectio n: 7.1Topic: Irregular divide nds68. Atlas Home Supply has paid a con sta nt annual divide nd of $2.40 a share for the past 15 years. Yesterday, the firm announ ced the divide nd will in crease next year by 10 perce nt and will stay at the level through year three, after which

54、time the divide nds will in crease by 2 perce nt ann ually. The required retur n on this stock is 12 perce nt. What is the curre nt value per share?A. $25.51B. $26.08C. $24.57D. $26.02E. $26.84P3 = ($2.401.10 1.02)/(0.12- 0.02) = $26.92823P0 = ($2.401.10)/1.12 + ($2.401.1)/1.12 + ($2.401.1) + $26.92

55、8/1.12 = $25.5169. Auto Tran smissi ons is expected to pay annual divide nds of $1.90 and $2.10 over the next two years, respectively. After that, the compa ny expects to pay a con sta nt divide nd of $2.30 a share. What is the value of this stock at a required retur n of 15 perce nt?A. $13.67B. $14

56、.21C. $14.83D. $15.08E. $15.60P2 = ($2.30/0.15) = $15.332P0 = $1.90/1.15 + ($2.10 + $15.33)/1.15 = $14.8370. Gen eral Importers announced today that its next ann ual divide nd will be $2.60 per share. After that divide nd is paid, the compa ny expects to encoun ter some finan cial difficulties and is going to suspe nd divide nds for 5 years. Follow ing the suspe nsion period, the compa ny expects to pay a con sta nt annual divide nd of $1.30 per share. What is the curre nt value of this s