1) The Mirror House increases its dividend each year. Next annual dividend is expected to be $2.21 a share. Future dividends will rise by 3.5 percent annually. Determine the present value of this stock if discount rate is 14 percent?
2) You just bought 100 shares of stock at the cost per share of $23.80. Initial margin needs on this stock is 80 percent and maintenance margin is 50 percent. stock is presently valued at $16.90 a share. Determine the present margin position? Avoid margin interest.
3) "Bill mason is considering two job offers. Job1 pays the salary of $36,500 with $4,500 of non-taxable employee benefits. Job 2 pays the salary of $34,700 and $6,120 of non-taxable benefits. Which position would have higher monetary value?”. By using a 28%tax rate.