# 2023 1 Seven Seas Co has paid a dividend 3 per share out of earnings of

2023 1 Seven Seas Co has paid a dividend 3 per share out of earnings of

1. Seven-Seas Co. has paid a dividend \$3 per share out of earnings of \$5 per share. If the book value per share is \$40 and the market price is 52.50 per share, calculate the required rate of return on the stock.

a. 12%

b. 11%

c. 5%

d. 6%

2. River Co. has paid a dividend \$2 per share out of earnings of \$4 per share. If the book value per share is \$25 and is currently selling for \$40 per share, calculate the required rate of return on the stock.

a. 15.2%

b. 7.2%

c. 14.7%

d. 13.4%

3. Lake Co. has paid a dividend \$3 per share out of earnings of \$5 per share. If the book value per share is \$40, what is the expected growth rate in dividends?

a. 7.5%

b. 8%

c. 12.5%

d. 5%

4. The growth rate in dividends is a function of two ratios. They are:

a. ROA and ROE

b. Dividend yield and growth rate in dividends

c. ROE and the Retention Ratio

d. Book value per share and EPS

We give our students 100% satisfaction for their assignment, which is one of the most important reasons students prefer us from other helpers. Our professional group and planners have more than ten years of rich experience. The only reason that our inception days, we have helped more than 100000 students with their assignments successfully. Our expert’s group have more than 2200 professionals of different topics, and that not all; we get more than 300 jobs every day more than 90% of the assignment get the conversion for payment.