1. Marco Chip, Inc just issued zero-coupon bonds with a par value of $1000. The bond has a maturity of 14 years and a yield to maturity 0f 6.96%, compound semi-annually. What is the current price of the bond? Round the answer to two decimal places.
2. Giant Co. has just issued preferred stock with a par value of $100 and an annual dividend rate of 8.26%. If your required rate of return is 8.69%, how much will you be willing to pay for one share of this preferred stock? Round the answer to two decimal places.
3. The last dividend of Delta, Inc was $2.69, the growth rate of dividend is expected to be 2.46% and the required rate of return on this stock is 12.46%. What is the stock price according to the constant growth dividend model? Round the answer to two decimal places.