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Tasya [4]
1 year 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]1 year 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

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Answer:

The journal entries relating to the conversion of preferred stock to common stock are highlighted below:

Dr Preferred stock                                                 $45,000

Dr Paid-in capital in excess of par                        $9,900

Cr Common stock                                                                           $18,000

Cr Paid-in capital in excess(balancing figure)                                $36,900

Explanation:

Find in the attached the detailed computations of the amounts above.

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7 0
3 years ago
The continual process by which managers actively encourage, stimulate, and support employee commitment to the company, the compa
vekshin1

Answer:

Internet marketing

Explanation:

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Here in the given situation, the continuous through which managers actively motivates and support the employees so this situation represent the internet marketing

5 0
2 years ago
Schwan's Sales Enterprises of Marshall, Minnesota, manufactures and markets a full line of frozen foods in 49 states using door-
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Answer:

A. Direct channel.

Explanation:

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3 0
3 years ago
Garth’s Distributing contracted with Wally Co. to sell it bottled water for $20,000. The contract is silent about assignments. G
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Answer:

D. Zeta prevails, but only if the assignment is signed and in writing

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Zeta prevails but only if the assignment is in writing and is signed.

If the assignment is express thereby and is signed by the parties in contract , then zeta can demand the amount from willy. Without any written consent and permission , willy cannot enforce the payment to zeta.

This is the best option in this case .

4 0
3 years ago
Asset sales, Usage fees, Brokerage frees, and advertising are all ___?
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Answer:

sources of business revenue

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Revenue is the money a business gets from its normal trading activities.  It is the income a business obtains through the sales of goods and services to customers. Revenue includes discounts received and purchase returns.

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