Evaluating current price if callable per share is given


1) Gunter Koch, a top-five draft pick of FC Bayern Munich, and his agent are estimating 3 contract options. Each option offers signing bonus and series of payments over life of contract. Koch utilizes a 10.25% rate of return to estimate contracts.

Requirements
Min Pages: 2

2) Eaton inc. has the issue of (perpetual) preferred outstanding. It has the annual dividend of= $6. If yield on this favoured share is= 12%, evaluate the current price.

i) If the next dividend comes in exactly 1 year?

ii) If the next dividend is payable in three months?

iii) If it is presently callable at $50 per share (and the next dividend is payable in three months)?

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Finance Basics: Evaluating current price if callable per share is given
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