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Author Question: Haugen-Dass Ice Cream just paid a 2.00 dividend and expects to increase it by 5 each year. If the ... (Read 29 times)

tsand2

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Haugen-Dass Ice Cream just paid a 2.00 dividend and expects to increase it by 5 each year. If the required return is 17, what is its dividend yield (i.e., what is D1/P0 )?
 
  A) 12.00
  B) 11.90
  C) 11.40
  D) 12.33
  E) 13.01

Question 2

The expected return on the market is 9 and the risk free rate is 4. A stock has an expected return of 8 and a beta of 0.8. What is the slope of the SML?

Question 3

Safety stock may be included into the EOQ model to alleviate problems caused by violation of the
  assumptions of constant demand and instantaneous delivery.
 
  Indicate whether the statement is true or false



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todom5090

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Answer to Question 1

A

Answer to Question 2

Many thanks to you.

Answer to Question 3

TRUE





 

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