- Your research paper is written by certified writers
- Your requirements and targets are always met
- You are able to control the progress of your writing assignment
- You get a chance to become an excellent student!
Essay Details:
Essay text:
Treasury bill = 4.50% as of September 06, 2007, 8:30pm, CST.
bj = beta coefficient or index of nondiversifiable risk for asset j = 1.64.
km - RF = market return; return on the market portfolio of assets = 7.5%.
Calculation (Gitman, 2006):
Required rate of return = 4.50% + (1.64 * 7.5%) = 4.50% + 12.3 = 19.8%.
Step 4:
Using the Constant-Growth Model (CGM), I have calculated IBM's current stock price;
PO = D1 / ks ? g
Where:
D1 = expected dividend per share one period from now = $.87.
ks = required rate of return (CAPM) = 19.8%.
g = growth rate in dividends = 8.2%.
Calculation (Gitman, 2006):
Stock price = $...
Calculate a fair price for your order
Do you need an essay?
A professional team of writers is able to craft custom essays from scratch according to your instructions. We are ready to satisfy writing needs of every demanding customer.
Do you need many essays?
The product provided is intended to be used for research or study purposes. Get instant access to over 200,000 papers.
Common topics in this essay:
- DISCUSSION OF THE RISK PREMIUM
- Higher Education Act
- IBM'S STOCK PRICE
- Investment Risk in Stock Market Securities
- impact of stock split on the stock return
- Outline The Main Benefits And Costs To Society From Advertising. Does Advertising Necessarily Lead To A Higher Price For The Product?
- Predictability Of Stock Price Returns In Select Emerging Markets
- Stock Dividends, Stock Splits and Reverse Splits
- Higher Ed
- Higher education
- The Higher Price of Higher Education
- Higher Education
- Quality Assurance perspectives in Higher Education in Oman … can they lead to structuring an effective higher education system?
- Extra Cash From Government Program Linked To Higher Risk Of Adult Obesity
- Foreign Exchange Rate Sensitivity and Stock Price
Feedback of people who used our services.
Similar Essays:
1 pages / 228 words |
|||
1 pages / 255 words |
|||
2 pages / 590 words |
|||
4 pages / 1023 words |
|||
3 pages / 630 words |
|||
3 pages / 771 words |
|||
3 pages / 749 words |