XYZ has been growing at a rate of 30% per year in recent years. This same supernormal growth is expected to last for another two years (30% for Year 0 to Year 1 and Year 1 to Year 2), then at a constant rate of 10% thereafter.

a. If D0 = RM1.80, rs = 12%, then what is XYZ’s stock worth today? What is the expected dividend yield and its capital gains yield at this time?

An inflation-indexed 3-year, annual 4% coupon bond issued by Thailand at par (Present Value =Par Value = 100 Thai Bhat initially). Inflation in Thailand increases by 5 % in year 1, by 4 % in year 2, and zero % in year 3. What is the coupon amount in Thai Bhat in year 2?

a. Bhat 4.20

b. Bhat 4.00

c. Bhat 5.00

d. Bhat 4.37

The spot price of an investment asset is $30 and the risk-free rate for all maturities is 10% with continuous compounding. The asset provides an income of $2 at the end of the first year and at the end of the second year. What is the three-year forward price? (Hint: First find the PV of $2 income at year 1 and year 2 using 10% rate and subtract it from spot price.)

Find the modified internal rate of return (MIRR) for the following series of future cash flows if the company is able to reinvest cash flows received from the project at an annual rate of 8.91 percent.The initial outlay is $354,000.

Year 1: $169,600

Year 2: $137,900

Year 3: $178,100

Year 4: $132,200

Year 5: $182,300

Round the answer to two decimal places in percentage form.

The spot price of an investment asset is $30 and the risk-free rate for all maturities is 10% with continuous compounding. The asset provides a dividend income of $2 at the end of the first year and at the end of the second year. What is the three-year futures price? (Hint: you would first need to find the PV of year 1 and year 2 incomes and then subtract it from  the spot price.)

A borrower is offered a 30 year, fully amortizing ARM with an initial rate of 3.2%. After the first year, the interest rate will adjust each year, using 1 yr LIBOR as the index, plus a margin of 175bp. The price of the property is $8,000,000 and the loan will have an initial LTV ratio of 75% At the first reset date, 1 year LIBOR is at 3%. What is the borrower’s payment during the 2nd year of the loan?

A project has annual cash flows of $7,500 for the next 10 years and then $11,000 each year for the following 10 years. The IRR of this 20-year project is 10.83%. If the firm's WACC is 9%, what is the project's NPV? Do not round intermediate calculations. Round your answer to the nearest cent.

year o investment is 0

Year 1 investment is the 7,500

year 11 turns to 11,000

thank you

Good Morning Food, Inc. is using the profitability index (PI) when evaluating projects. You have to find the PI for the company’s project, assuming the company’s cost of capital is 6.11 percent. The initial outlay for the project is $498,112. The project will produce the following end-of-the-year after-tax cash inflows of

Year 1: $148,444

Year 2: $92,435

Year 3: $171,330

Year 4: $436,132

Fuente, Inc., has identified an investment project with the following cash flows. Year 1 - $675 Year 2 - $900 Year 3 - $1,175 Year 4 - $1,300

a. If the discount rate is 9 percent, what is the future value of these cash flows in year 4?

b. What is the future value at a discount rate of 19 percent?

c. What is the future value at discount rate of 28 percent?