Questions from General Investment

Q: Granger Toothpaste Corp. has total equity of $600 million and

Granger Toothpaste Corp. has total equity of $600 million and 125 million shares outstanding. Its ROE is 18%. Calculate the company’s EPS.

Q: Good stuff Corporation has total equity of $500 million and 100

Good stuff Corporation has total equity of $500 million and 100 million shares outstanding. Its ROE is 15%. The dividend payout ratio is 33.3%. Calculate the company’s dividends per share (round to th...

Q: HighTeck has an ROE of 15%. Its earnings per share are

HighTeck has an ROE of 15%. Its earnings per share are $2.00, and its dividends per share are $0.20. Estimate HighTeck’s growth rate.

Q: In Table 14.2, notice that among the options expiring

In Table 14.2, notice that among the options expiring in one month, the option with the highest time value is the one with a strike price of $70. Likewise, among the options expiring in three months,...

Q: From 2010 to 2015 Steller Strollers, Inc., has paid dividends

From 2010 to 2015 Steller Strollers, Inc., has paid dividends of $1.06, $1.13, $1.21, $1.25, $1.31, and $1.38. Use an Excel spreadsheet like the template below to find Steller’s hist...

Q: Investors expect that Amalgamated Aircraft Parts, Inc., will pay a

Investors expect that Amalgamated Aircraft Parts, Inc., will pay a dividend of $2.50 in the coming year. Investors require a 12% rate of return on the company’s shares, and they expect dividends to gr...

Q: You hear a market analyst on television say that the advance/

You hear a market analyst on television say that the advance/decline ratio for the session was 1.2. What does that mean?

Q: At the end of a trading day you find that on the

At the end of a trading day you find that on the NYSE 2,200 stocks advanced and 1,000 stocks declined. What is the value of the advance-decline line for that day?

Q: You have collected the following NH-NL indicator data:

You have collected the following NH-NL indicator data: Day NH-NL Indicator 1 (yesterday) 100 2 ………………………………………….……………………………………………………. 95 3 …………………………………………………..…………………………………………. 61 4 ………...

Q: A 9%, 20-year bond is callable in 12 years

A 9%, 20-year bond is callable in 12 years at a call price of $1,090. The bond is currently priced in the market at $923.68. What is the issue’s current yield?