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The Francis Company is expected to pay a dividend of D_1 = $1.25 per share at the end of the year, and that dividend is expected to grow at a constant rate of 6.00% per year in the future. The company’s beta is 1.70, the market risk premium is 5.50%. and the risk-free rate is 4.00%. What is the company’s current stock price? a. $13.44. b. $17.01. c. $14.80 d. $18.03 e. $12.93 The following information is relevant for questions 48-50 You are an analyst for Green Meadows, Inc. The firm is considering the adoption of one of the two proposals below, which are alternative methods of recycling waste products. The V.P. of Finance for the firm has assigned you to make a recommendation on these two proposals. Consider the following two mutually exclusive investment proposals: Project A and Project B: You have been provided with the following information and guidelines. The cost of capital is 14% and the cutoff payback period is 3 years. Calculate NPV for Project B a. -10.00 b. 14.65 c. 28.10 d. 100.78 e. 124.43

 
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