Answer:
The expected price after 1 year would be$55.5
Explanation:
According to the given data,
Price of the stock (Po) = $50
Dividend after 1year (D1) = $2
Equity cost of capital (KE) =15%
The formula for calculating the price after 1 year i.e.,(P1 ) is
Po = (D1 + P1 )/ 1+KE $50= ($2 + P1) / (1+0.15)
P1 = [$50(1.15)] - $2 = $55.5
Answer:
Exclusive distribution
Explanation:
Exclusive distribution -
It is the type of distribution , which have some dealers fixed for a specific geographical area , is known as Exclusive distribution .
It is the most restrictive form of distribution , and is majorly adopted by huge companies , who need to deliver to many parts .
Hence , from the question , the manufacturing unit , Caterpillar , uses this distribution method .
Answer:
The answer is below:
Explanation:
The common obstacle in selling car parts is finding a buyer that needs that particular car part a seller is willing to sell at a particular time.
This is because in most cases, for example, the seller might have a rim for the Lexus jeep 2015 model, however, the available buyers are looking for a rim of Toyota car 2017 and 2018 model.
Hence, the difficulty of finding ready-made end-users for the car parts can be difficult most of the time and it is a common obstacle faced by the car part sellers.
Answer:
Adjusted in Cash balance per the bank record
bank balance $19,361
Add: Deposit intransit <u> 1,650</u>
21,011
Outstanding check <u> (891)</u>
Adjusted cash balance <u> 20,120</u>
Explanation:
In order to calculate the adjusted cash balance in the bank record the deposit in transit will be added to the bank balance on the statement while the outstanding check will be deducted. Bank error shall be corrected in cash book side of the reconciliation.
Answer:
d. $935.69
Explanation:
The computation of the market price of the bond is shown below:
Given that
Future value be $1,000
RATE = 6.32% ÷ 2 = 3.16%
NPER = 11 × 2 = 22
PMT = $1,000 × 5.5% ÷ 2 = $27.50
The formula is shown below:
=-PV(RATE,NPER,PMT,FV,TYPE)
After applying the above formula, the market price of the bond is $935.69