Copy of FCF 9th edition Chapter 12

Copy of FCF 9th edition Chapter 12 - Chapter 12 Problems...

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Chapter 12 Problems 1-24 Input boxes in tan Output boxes in yellow Given data in blue Calculations in red Answers in green NOTE: Some functions used in these spreadsheets may require that the "Analysis ToolPak" or "Solver Add-In" be installed in Excel. To install these, click on the Office button then "Excel Options," "Add-Ins" and select "Go." Check "Analyis ToolPak" and "Solver Add-In," then click "OK."
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Chapter 12 Question 1 Input area: Initial price $91 Dividend paid $2.40 Ending share price $102 Output area: Total return 14.73%
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Chapter 12 Question 2 Input area: Initial price $91 Dividend paid $2.40 Ending share price $102 Output area: Dividend yield 2.64% Capital gains yield 12.09%
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Chapter 12 Question 3 Input area: Initial price $91 Dividend paid 2.40 Ending share price $83 Output area: Total return -6.15% Dividend yield 2.64% Capital gains yield -8.79%
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Chapter 12 Question 4 Input area: Initial price $1,040 Coupon paid $70 Ending price $1,070 Inflation rate 4% Output area: a. Dollar return $100.00 b. Nominal return 9.62% c. Real return 5.40%
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Chapter 12 Question 5 Input area: Nominal return 12.30% Inflation rate 3.10% Output area: a. Nominal return 12.30% b. Real return 8.92%
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Chapter 12 Question 6 Input area: Long-term government 5.80% Long-term corporate 6.20% Inflation rate 3.10% Output area: Real long-term government return 2.62% Real long-tern corporate return 3.01%
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Chapter 12 Question 7 Input area: Year X Y 1 8% 16% 2 21% 38% 3 17% 14% 4 -16% -21% 5 9% 26% Output area: X Deviation 1 0.08 0.08 0.00 0.00000 2 0.21 0.08 0.13 0.01742 3 0.17 0.08 0.09 0.00846 4 (0.16) 0.08 (0.24) 0.05664 5 0.09 0.08 0.01 0.00014 Total 0.39 0.08268 Average return 7.80% Variance 0.020670 Standard Deviation 14.38% X Deviation 1 0.16 0.15 0.01 0.00020 2 0.38 0.15 0.23 0.05476 3 0.14 0.15 (0.01) 0.00004 4 (0.21) 0.15 (0.36) 0.12674 5 0.26 0.15 0.11 0.01300 Total 0.73 0.19472 Average return 14.60% Variance 0.048680 Standard Deviation 22.06% Actual Return Average Return Squared Deviation Actual Return Average Return Squared Deviation
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Chapter 12 Question 8 Input area: Year T-bills 1970 3.94% 6.50% 1971 14.30% 4.36% 1972 18.99% 4.23% 1973 -14.69% 7.29% 1974 -26.47% 7.99% 1975 37.23% 5.87% Output area: Large company stocks Year Deviation 1970 0.0394 0.0555 (0.0161) 0.00026 1971 0.1430 0.0555 0.0875 0.00766 1972 0.1899 0.0555 0.1344 0.01806 1973 (0.1469)
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Copy of FCF 9th edition Chapter 12 - Chapter 12 Problems...

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