1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Tasya [4]
2 years ago
11

White Wedding Corporation will pay a $2.65 per share dividend one year from today. The company pledges to increase its dividend

by 4.75 percent per year, indefinitely. If you require a return of 11 percent on your investment, how much will you pay for the company's stock today
Business
1 answer:
bezimeni [28]2 years ago
8 0

The amount I will pay for the company's stock today is $42.40.

<h3>How much would I pay for the company's stock?</h3>

The amount I would pay for the company's stock is dependent on the value of the stock. The value of the stock can be determined using the Gordon growth model.

According to the Gordon growth model, the value of a stock is a factor of its dividend, growth rate and the rate of return.

Value of a stock = next year dividend / (rate of return - growth rate)

$2.65 / (11 - 4.75%)

$2.65 / 6.25%

$2.65 / 0.0625 = $42.40

To learn more about how to determine the value of a stock, please check: brainly.com/question/15710204

#SPJ1

You might be interested in
Micro Corp. reported a statutory tax rate of 35% and an effective tax rate of approximately 15%. The current year's income state
Alexxx [7]

Answer:

$19,687 million

Explanation:

Income tax expense = Income before income tax expense*Effective tax rate

Income before income tax expense = Income tax expense / Effective tax rate

Income before income tax expense = $2,953 million / 15%

Income before income tax expense = $2,953 million / 0.15

Income before income tax expense = $19,687 million

So, the amount that Micro report as income before income tax expense that year is $19,687 million.

6 0
2 years ago
Nami is very good at research is skilled at developing instructional materials and knows about libraries and information
GrogVix [38]

The answer is: B) professional support services

Skills in developing instructional materials and research make you a very valuable assets in providing data that needed by the people on the field (the front liners).

The duty of professional support services is to collect relevant data from company operations, processing that data, and provide instructions or advice for the front liners on how to use that data to their advantage.

8 0
2 years ago
Read 2 more answers
The practice of setting the selling price below cost with the intent to drive competitors out of business is: 28) A) target pric
Dmitrij [34]

Answer:

The correct answer is letter "B": predatory pricing.

Explanation:

Predatory pricing refers to companies setting prices below the average level in an attempt to wipe out competition. In the beginning, consumers may benefit from the low prices but after the competition has disappeared, the predatory company raises the prices, but, in this scenario, consumers do not have substitutes from where to choose. The predatory company became a monopoly.

Predatory pricing practices are forbidden by the Federal Trade Commission (FTC) in the U.S.

5 0
3 years ago
A rock group assigns its payment under a performance contract to the Costume Shop, a business that has supplied the group with o
blondinia [14]

Answer:

Rock Group and Costume Shop

Under this arrangement the rock group is the

d. assignor.

Explanation:

The rock group, as the  assignor, is the entity that transfers its property rights or its powers to payment to Costume Shop.   The Costume Shop is the assignee because it is the entity to which property rights or powers to payment of the rock group are transferred.  Under the performance contract, the rock group can also be described as the delegator while the Costume Shop is the delegatee.  However, under payment terms, the rock is the assignor while the Costume Shop is the assignee.

5 0
2 years ago
Most of the financial information about an organization is based on information generated from accounting records. The reports a
Bond [772]

Answer: (D)

Explanation: Reports and financial statements prepared by accountants are useful tools to evaluate an organisation's liquidity,solvency and stability. It helps the general public and other stakeholders to get the required data and information needed for decision making.

The inflationary trends shows the relationship between demand and supply in an economy which will help management to implement the necessary steps that will enhance it's operations.

The balance of trade between 2 countries provides necessary details for decision makers on when and how to improve or manage exports and imports.

8 0
2 years ago
Other questions:
  • What determines the color or a translucent object
    7·2 answers
  • Under the Precedence Diagramming Method, the situation which occurs when two activities can start at different times, have diffe
    10·2 answers
  • Suppose you decide to follow in Vernon Smith's footsteps and conducted your own experiment with your friends. You give out 10 ca
    12·1 answer
  • As a Customer Relations Specialist, Kendra must deny a customer's request for a cash refund. In her message to the customer, Ken
    10·1 answer
  • The difference between Karson's behavior at the end of the 12 weeks versus the promise to cure Karson of ADHD can be described a
    13·1 answer
  • Simplify (7^5)^3 <br><br>A)(1/7)^15<br>B)35^3<br>C)7^15<br>D)7^8
    15·2 answers
  • 1. Collecting Information to Compose Messages Before beginning to compose a successful business message, you need to collect nec
    9·1 answer
  • After a product recall triggered by salmonella contamination and repeated violation citations by the health department, Mc Burge
    13·1 answer
  • In​ 1982-84 dollars, the real average hourly wage rate in 2005 was ​$8.18 and in 2006 ​, it was ​$8.24 . In 2005 ​, the CPI was
    5·1 answer
  • As a member of the media audience, what are some ways you can control the persuasive process? Explain who you think has more pow
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!