1) The common stock of ABC Industries is valued at $64.23 a share. The company increases their dividend by 7.7 percent annually and expects their next dividend to be $3.34. What is the required rate of return on this stock?
Note: Enter your answer in percentages rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.12345 then enter as 12.35 in the answer box.
2) A company sells 156,378 units per year. Fixed costs per order are $106 and carrying cost is $35 per unit per year. What is the Economic Order Quantity?
Enter your answer rounded off to two decimal points.