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Aqua System Inc

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Aqua System Inc. expects to have $24,559,190 in credit sales during the coming year. Currently all checks are sent to the home office. A proposed lockbox system can eliminate 3 days of float, releasing funds which, when invested, will earn 9.80 percent per year. What annual savings can Aqua System expect if the system is implemented? Use a 365-day year. Round the answer to two decimal places Your Answer: Answer Question 2 (1 point) Book Depot Inc. sells on terms of 3/10, net 45. What is the implicit cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 3 (1 point) Pets Store Inc. sells on terms of 1/10, net 70. What is the effective annual cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 1 (1 point) Aqua System Inc. expects to have $2,571,855 in credit sales during the coming year. Currently all checks are sent to the home office. A proposed lockbox system can eliminate 2 days of float, releasing funds which, when invested, will earn 7.33 percent per year. What annual savings can Aqua System expect if the system is implemented? Use a 365-day year. Round the answer to two decimal places Your Answer: Answer Question 2 (1 point) Book Depot Inc. sells on terms of 2/10, net 65. What is the implicit cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 3 (1 point) Pets Store Inc. sells on terms of 3/10, net 75. What is the effective annual cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 1 (1 point) Aqua System Inc. expects to have $10,418,619 in credit sales during the coming year. Currently all checks are sent to the home office. A proposed lockbox system can eliminate 1 days of float, releasing funds which, when invested, will earn 6.25 percent per year. What annual savings can Aqua System expect if the system is implemented? Use a 365-day year. Round the answer to two decimal places Your Answer: Answer Question 2 (1 point) Book Depot Inc. sells on terms of 3/10, net 70. What is the implicit cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 3 (1 point) Pets Store Inc. sells on terms of 2/20, net 35. What is the effective annual cost of trade credit under these terms? Use a 365-day year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 1 (1 point) Post Card Depot, an large retailer of post cards, orders 4,791,683 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 10 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.24 per post card per year. The ordering cost is $251 per order. What is the annual carrying costs of post card inventory (round the answer to two decimal places)? Your Answer: Answer Question 2 (1 point) Post Card Depot, an large retailer of post cards, orders 3,522,564 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 6 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.10 per post card per year. The ordering cost is $323 per order. What is the annual ordering cost of the post card inventory? (Round the answer to two decimal places) Your Answer: Answer Question 3 (1 point) Post Card Depot, an large retailer of post cards, orders 8,110,154 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 13 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.30 per post card per year. The ordering cost is $328 per order. What is the annual total inventory management costs of post card inventory? (Round the answer to two decimal places). Your Answer: Answer Question 1 (1 point) Post Card Depot, an large retailer of post cards, orders 6,519,616 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 11 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.15 per post card per year. The ordering cost is $282 per order. What is the annual carrying costs of post card inventory (round the answer to two decimal places)? Your Answer: Answer Question 2 (1 point) Post Card Depot, an large retailer of post cards, orders 3,309,654 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 14 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.15 per post card per year. The ordering cost is $358 per order. What is the annual ordering cost of the post card inventory? (Round the answer to two decimal places) Your Answer: Answer Question 3 (1 point) Post Card Depot, an large retailer of post cards, orders 7,062,573 post cards per year from its manufacturer. Post Card Depot plans on ordering post card 6 times over the next year. Post Card Depot receives the same number of post cards each time it orders. The carrying cost is $0.06 per post card per year. The ordering cost is $388 per order. What is the annual total inventory management costs of post card inventory? (Round the answer to two decimal places). Your Answer: Answer Question 1 (1 point) Cheeseburger and Taco Company purchases 14,564 boxes of cheese each year. It costs $10 to place and ship each order and $9.70 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. Calculate Economic Order Quantity. Round the answer to the whole number. Your Answer: Answer Question 2 (1 point) Cheeseburger and Taco Company purchases 17,369 boxes of cheese each year. It costs $11 to place and ship each order and $3.68 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year? Round the answer to the whole number Your Answer: Answer Question 3 (1 point) Cheesburger and Taco Company purchases 6,560 boxes of cheese each year. It costs $22 to place and ship each order and $3.11 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. How many orders will be placed each year? Round the answer to the whole number Your Answer: Answer Question 4 (1 point) Cheeseburger and Taco Company purchases 13,510 boxes of cheese each year. It costs $30 to place and ship each order and $7.70 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual carrying costs of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 5 (1 point) Cheeseburger and Taco Company purchases 17,598 boxes of cheese each year. It costs $24 to place and ship each order and $5.37 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual ordering cost of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 6 (1 point) Cheeseburger and Taco Company purchases 6,640 boxes of cheese each year. It costs $14 to place and ship each order and $5.44 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual total inventory management costs of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 7 (1 point) Appliance for Less is a local appliance store. It costs this store $27.88 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 276 units. Each order costs $77. The company is using Economic Order Quantity model in placing the orders. It takes approximately 5 day(s) to receive an order after it has been placed. If the store insists on a 1 day(s) safety stock (assume 365-days a year), what should the inventory level be when a new order is placed? (Round the answer to the whole number) Your Answer: Answer Question 8 (1 point) Appliance for Less is a local appliance store. It costs this store $16.33 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 240 units. Each order costs $99. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year including safety stock if the store insists on a 3 days safety stock (assume 365 days a year)? (Round the answer to the whole number) Your Answer: Answer Question 1 (1 point) Cheeseburger and Taco Company purchases 6,455 boxes of cheese each year. It costs $16 to place and ship each order and $8.29 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. Calculate Economic Order Quantity. Round the answer to the whole number. Your Answer: Answer Question 2 (1 point) Cheeseburger and Taco Company purchases 9,868 boxes of cheese each year. It costs $12 to place and ship each order and $5.46 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year? Round the answer to the whole number Your Answer: Answer Question 3 (1 point) Cheesburger and Taco Company purchases 13,515 boxes of cheese each year. It costs $20 to place and ship each order and $3.71 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. How many orders will be placed each year? Round the answer to the whole number Your Answer: Answer Question 4 (1 point) Cheeseburger and Taco Company purchases 8,185 boxes of cheese each year. It costs $24 to place and ship each order and $6.38 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual carrying costs of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 5 (1 point) Cheeseburger and Taco Company purchases 17,163 boxes of cheese each year. It costs $20 to place and ship each order and $7.22 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual ordering cost of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 6 (1 point) Cheeseburger and Taco Company purchases 16,398 boxes of cheese each year. It costs $16 to place and ship each order and $8.20 per year for each box held as inventory. The company is using Economic Order Quantity model in placing the orders. What is the annual total inventory management costs of cheese inventory. Round the answer to two decimals. Your Answer: Answer Question 7 (1 point) Appliance for Less is a local appliance store. It costs this store $22.78 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 743 units. Each order costs $76. The company is using Economic Order Quantity model in placing the orders. It takes approximately 1 day(s) to receive an order after it has been placed. If the store insists on a 1 day(s) safety stock (assume 365-days a year), what should the inventory level be when a new order is placed? (Round the answer to the whole number) Your Answer: Answer Question 8 (1 point) Appliance for Less is a local appliance store. It costs this store $20.14 per unit annually for storage, insurance, etc., to hold microwave in their inventory. Sales this year are anticipated to be 642 units. Each order costs $73. The company is using Economic Order Quantity model in placing the orders. What is the average inventory held during the year including safety stock if the store insists on a 3 days safety stock (assume 365 days a year)? (Round the answer to the whole number) Your Answer: Answer a) Canadian Bacon Inc. financial statements are presented in the table below. Based on the information in the table, and using a 365-day year, calculate operating cycle. Round the answers to two decimal places Balance Sheet December 31, 2013 Cash and marketable $112,000 Accounts payable $211,000 securities Accounts $325,000 Notes payable $51,500 receivable Inventories $426,000 Accrued expenses $50,100 Total current Prepaid expenses $10,700 $312,600 liabilities Total current assets $873,700 Long-term debt $225,000 Par value and Gross fixed assets $1,514,000 $117,000 paid-in-capital Less: accumulated $315,000 depreciation Retained Earnings $1,418,100 Net fixed assets $1,199,000 Common Equity 1,535,100 Total liabilities Total assets $2,072,700 and owner's $2,072,700 equity Income Statement, Year of 2013 equity Income Statement, Year of 2013 Net sales (all credit) $3,256,600.00 Less: Cost of goods $2,572,714.00 sold Selling and administrative $323,000.00 expenses Depreciation $115,000.00 expense EBIT $245,886.00 Interest expense $29,600.00 Earnings before $216,286.00 taxes Income taxes $86,514.40 Net income $129,771.60 Your Answer: a) American Bacon Inc. financial statements are presented in the table below. Based on the information in the table, and using a 365-day year, calculate Average Day's Purchases. Round the answers to two decimal places Balance Sheet December 31, 2010 Cash and marketable $102,000 Accounts payable $287,000 securities Accounts $299,000 Notes payable $61,200 receivable Inventories $628,000 Accrued expenses $51,900 Total current Prepaid expenses $10,300 $400, 100 liabilities Total current assets $1,039,300 Long-term debt $415,000 Gross fixed assets $1,502,000 Par value and $376,000 paid-in-capital Less: accumulated $312,000 depreciation Retained Earnings $1,038,200 Net fixed assets $1,190,000 Common Equity 1,414,200 Total liabilities Total assets $2,229,300 and owner's $2,229,300 equity Income statement, Year of 2010 Income statement, Year of 2010 Net sales (all credit) $6,387,700.00 Less: Cost of goods $4,726,898.00 sold Selling and administrative $345,000.00 expenses Depreciation $148,000.00 expense EBIT $1,167,802.00 Interest expense $50,600.00 Earnings before $1,117,202.00 taxes Income taxes $446,880.80 Net income $670,321.20 Vou Ancuor. a) American Bacon Inc. financial statements are presented in the table below. Based on the information in the table, and using a 365-day year, calculate Days payables outstanding (Payables conversion period). Round the answers to two decimal places Balance Sheet December 31, 2010 Cash and marketable $102,000 Accounts payable $287,000 securities Accounts $299,000 Notes payable receivable $61,200 Inventories $628,000 Accrued expenses $51,900 Total current Prepaid expenses $10,300 liabilities $400,100 Total current assets $1,039,300 Long-term debt $415,000 Par value and Gross fixed assets $1,502,000 $376,000 paid-in-capital Less: accumulated $312,000 depreciation Retained Earnings $1,038,200 Net fixed assets $1,190,000 Common Equity 1,414,200 Total liabilities Total assets $2,229,300 and owner's $2,229,300 equity Income statement, Year of 2010 Net sales (all credit) $6,387,700.00 Less: Cost of goods $4,726,898.00 sold Selling and administrative $345,000.00 expenses Depreciation $148,000.00 expense EBIT $1,167,802.00 Interest expense $50,600.00 Earnings before $1,117,202.00 taxes Income taxes $446,880.80 Net income $670,321.20 Question 4 (1 point) Canadian Bacon Inc. financial statements are presented in the table below. Based on the information in the table, and using a 365-day year, calculate cash conversion cycle. Round the answers to two decimal places Balance Sheet December 31, 2014 Cash and marketable $132,000 Accounts payable $399,000 securities Accounts $311,000 Notes payable $98,500 receivable Inventories $512,000 Accrued expenses $89,300 Prepaid expenses $11,300 Total current $586,800 liabilities Total current assets $966,300 Long-term debt $799,400 Gross fixed assets $2,104,000 Par value and $298,000 paid-in-capital Less: accumulated $398,000 depreciation Retained Earnings $988,100 Net fixed assets $1,706,000 Common Equity 1,286,100 Total liabilities Total assets $2,672,300 and owner's $2,672,300 equity Income Statement, Year of 2014 Net sales (all credit) $4,276,600.00 Less: Cost of goods $3,292,982.00 sold Selling and administrative $349,000.00 expenses Depreciation $148,000.00 expense EBIT $486,618.00 Interest expense $49,600.00 Earnings before $437,018.00 taxes Income taxes $174,807.20 Net income $262,210.80 Your Answer: Answer Question 1 (1 point) Assume that today's date is April 15, 2015. Fresh Bakery Inc. bond is an annual-coupon bond. Par value of the bond is $5,000. How much you will pay for the bond if you purchased the bond today? The answer should be calculated to two decimal places Company Maturity Date Current Yield Price YTM Rating Coupon Rate 124.292 7.534 04-15- 2036 AA Fresh Bakery Your Answer: Answer Question 2 (1 point) A few years ago, Spider Web, Inc. issued bonds with a 11.65 percent annual coupon rate, paid semiannually. The bonds have a par value of $1,000, a current price of $1,096, and will mature in 11 years. What would the annual yield to maturity be on the bond if you purchased the bond today? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) You should use Excel or financial calculator. Your Answer: Answer units Question 3 (1 point) Garden Tools Inc. has bonds, preferred stock, and common stocks outstanding. The number of securities outstanding, the current market price, and the required rate of return for these securities are stated in the table below. The firm's tax rate is 35%. Calculate the firm's WACC adjusted for taxes using the market information in the table. Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) The Number of Securities Outstanding 1,677 Selling price $1,009 The Required Rate of Return 10.48% 5,291 $79.09 15.22% Bonds Preferred Stocks Common Stocks 1,257 $103.95 10.89% Your Answer: Question 4 (1 point) Mary purchased 200 shares of Harley Davidson Co. stock at a price of $98.47 six months ago. She sold all stocks today for $92.88. During the year the stock paid dividends of $4.30 per share. What is Mary's holding period return? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 5 (1 point) Mary purchased 100 shares of Sweet Pea Co. stock at a price of $46.75 six months ago. She sold all stocks today for $44.32. During that period the stock paid dividends of $1.32 per share. What is Mary's effective annual rate? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 6 (1 point) General Mills has a $1,000 par value, 24-year to maturity bond outstanding with an annual coupon rate of 11.88 percent per year, paid semiannually. Market interest rates on similar bonds are 8.63 percent. Calculate the bond's price today. Round the answer to two decimal places. Your Answer: Answer Question 7 (1 point) Use the information below to determine before-tax cost of debt financing of bond S. The Selling Number of Price of the Years to Bond (P) Maturity (n) Annual Coupon Rate, (paid annually) Before - Tax Cost Par Value Floatation Costs of Debt Financing (%) Bond S $1,065 17 16.48% $1,000 $4.25 ? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) You should use Excel or financial calculator. Question 8 (1 point) Tall Trees, Inc. is using the modified internal rate of return (MIRR) when evaluating projects. The company is able to reinvest cash flows received from the project at an annual rate of 12.95 percent. What is the MIRR of a project if the initial costs are $1,751,100 and the project life is estimated as 8 years? The project will produce the same after-tax cash inflows of 535,200 per year at the end of the year. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 9 (1 point) Black Hill Inc. sells $100 million worth of 23-year to maturity 6.69% annual coupon bonds. The net proceeds (proceeds after flotation costs) are $980 for each $1,000 bond. What is the before-tax cost of capital for this debt financing? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) You should use Excel or financial calculator. Your Answer: Answer units Question 10 (1 point) A project has an initial outlay of $4,423. It has a single payoff at the end of year 8 of $7,073. What is the profitability index (PI) of the project, if the company's cost of capital is 8.38 percent? Round the answer to two decimal places. Your Answer: Answer Question 11 (1 point) What is the yield to call of a 30-year to maturity bond that pays a coupon rate of 11.52 percent per year, has a $1,000 par value, and is currently priced at $953? The bond can be called back in 5 years at a call price $1,066. Assume annual coupon payments. Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 12 (1 point) Calculate the cost of new common equity financing of stock Q using Gordon Model Round the answers to two decimal places in percentage form (Write the percentage sign in the "units" box) Last Year Dividend Growth Rate of Dividends Selling Price of Floatation Cost of Common Stock Costs Equity Stock Q $3.37 3% $71.74 $2.99 ? Your Answer: Answer units Question 13 (1 point) You hold a portfolio with the following securities: 39% Percent of Security Return portfolio Stock A 2.9% Stock B 13% 13.9% Please Stock C 4.6% calculate it Calculate the expected return of portfolio. Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). Your Answer: Answer units Question 14 (1 point) Deep Waters, Inc. is using the internal rate of return (IRR) when evaluating projects. Find the IRR for the company's project. The initial outlay for the project is $468,900. The project will produce the following after-tax cash inflows of Year 1: 176,300 Year 2: 100,000 Year 3: 128,300 Year 4: 123,700 Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) You should use Excel or financial calculator. Question 15 (1 point) Calculate the expected return on stock of Gamma Inc.: State of the economy Probability of the states Percentage returns Economic recession 28% -5.4% Steady economic growth 47% 2.0% Boom Please calculate it 13.0% Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 16 (1 point) Bright Sun, Inc. sold an issue of 30-year $1,000 par value bonds to the public. The bonds had a 8.38 percent coupon rate and paid interest annually. It is now 19 years later. The current market rate of interest on the Bright Sun bonds is 8.01 percent. What is the current market price (intrinsic value) of the bonds? Round the answer to two decimal places. Your Answer: Answer Question 17 (1 point) The Poseidon Swim Company produces swim trunks. The average selling price for one of their swim trunks is $71.94. The variable cost per unit is $25.09, Poseidon Swim has average fixed costs per year of $8,220. Determine the degree of operating leverage for the level of production and sales 355 swim trunks. Round the answer to two decimal places. Your Answer: Answer Question 18 (1 point) an is considering the purchase of Super Technology, Inc. bonds that were issued 8 years ago. When the bonds were originally sold they had a 30-year maturity and a 5.72 percent coupon interest rate, paid annually. The bond is currently selling for $1,196. Par value of the bond is $1,000. What is the yield to maturity on the bonds if you purchased the bond today? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). You should use Excel or financial calculator. Your Answer: Answer units Question 19 (1 point) Heavy Rain Corporation just paid a dividend of $3.75 per share, and the firm is expected to experience constant growth of 2.52% over the foreseeable future. The common stock is currently selling for $98.49 per share. What is Heavy Rain's cost of retained earnings using the Gordon Model (DDM) approach? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 20 (1 point) Golden Rod Corp.'s preferred stock is currently selling for $56.70. The company pays $5.53 annual dividends on this preferred stock. Which rate of return does the investor expect to receive on this stock if the stock is purchased today? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 21 (1 point) Green Landscaping, Inc. is using net present value (NPV) when evaluating projects. Green Landscaping's cost of capital is 6.40 percent. What is the NPV of a project if the initial costs are $1,737,999 and the project life is estimated as 8 years? The project will produce the same after-tax cash inflows of $602,738 per year at the end of the year. Round the answer to two decimal places. Your Answer: Answer Question 22 (1 point) Marco Chip, Inc. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 14 years and a yield to maturity of 12.60 percent, compounded semi-annually. What is the current price of the bond? Round the answer to two decimal places. Your Answer: Answer Question 23 (1 point) Blue Crab, Inc. plans to issue new bonds, but is uncertain how the market would set the yield to maturity. The bonds would be 18-year to maturity, carry a 11.60 percent annual coupon, and have a $1,000 par value. Blue Crab, Inc. has determined that these bonds would sell for $1,312 each. What is the yield to maturity for these bonds? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box). You should use Excel or financial calculator. Your Answer: Answer units Question 24 (1 point) John invested the following amounts in three stocks: Security Investment Stock A $937,248 Stock B $321,866 Stock C $977,901 Calculate the beta portfolio. Beta 1.00 0.83 2.21 Round the answers to two decimal places. Your Answer: Answer Question 25 (1 point) Reversing Rapids Co. purchases an asset for $182,891. This asset qualifies as a five- year recovery asset under MACRS. The five-year expense percentages for years 1, 2, 3, and 4 are 20.00%, 32.00%, 19.20%, and 11.52% respectively. Reversing Rapids has a tax rate of 30%. The asset is sold at the end of year 4 for $13,846. Calculate After-Tax Cash Flow at disposal. Round the answer to two decimals. Your Answer: Answer Question 26 (1 point) The Black Bird Company plans an expansion. The expansion is to be financed by selling $145 million in new debt and $185 million in new common stock. The before- tax required rate of return on debt is 8.59% percent and the required rate of return on equity is 15.07% percent. If the company is in the 34 percent tax bracket, what is the weighted average cost of capital? Round the answer to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer: Answer units Question 27 (1 point) The last dividend of Delta, Inc. was $12.21, the growth rate of dividends is expected to be 4.72 percent, and the required rate of return on this stock is 13.84 percent. What is the stock price according to the constant growth dividend model? Round the answer to two decimal places. Your Answer: Answer Question 28 (1 point) What is the value of a bond that has a par value of $1,000, a coupon rate of 11.42 percent (paid annually), and that matures in 26 years? Assume a required rate of return on this bond is 8.12 percent. Round the answer to two decimal places.