There are two versions of the quiz. One question is showing with
both versions being worked out after the question.
1. Builtrite's common stock is currently selling for $84 a share and the
company has reported earnings per share of $7. What is Builtrite's PE ratio?
2. Builtrite just paid a dividend of $3 a share and expects dividends to
continue growing at 4% annually. Investors require a 9% rate of return on
Builtrite stock. What would you expect Builtrite stock to sell for?
3. Builtrite preferred stock just paid a dividend of $4 for their preferred stock
selling for $72 a share. What is the approximate required return for