Answer:
The dividend growth rate is 8%.
Explanation:
Considering the stock is the one that has a constant dividend growth, we use the DDM approach for constant growth model. The constant growth model formula for price of a stock today is,
P0 = D1 / r - g
Where,
- D1 is the dividend in the next period or D0 * (1 + g)
- r is the required rate of return
- g is the growth rate in dividends
Plugging in the available value,
30 = 1.25 ( 1+g) / (0.125 - g)
30 * (0.125 - g) = 1.25 + 1.25g
3.75 - 30g = 1.25 + 1.25g
3.75 - 1.25 = 30g + 1.25g
2.5 / 31.25 = g
g = 0.08 or 8%
Using the straight-line method, the company should report annual depreciation for the equipment of $4,200.
Given,
A company buys equipment for $48,000 expects to use it for ten years, and then sell it for $6,000
The formula to calculate annual depreciation is given below-
Annual depreciation = (Original cost - salvage value) / Estimated life(years)
Annual depreciation = ($48,000 - $6,000) / 10
Thus, annual depreciation = $4,200
A standard yearly rate at which depreciation is charged to a fixed asset is called annual depreciation. Thus, to calculated depreciation the straight-line method is used. Where you need to subtract the asset's salvage value from its cost.
To learn more about annual depreciation here:
brainly.com/question/27971176
#SPJ4
Answer:
No, a currency carry trade with positive profit can not be conducted.
Explanation:
The currency carry trade is the trading strategy where investor funding from lower-yield currency to invest in higher-yield currency with expectation to earn positive profit from the yield differences between the two currencies.
However, this strategy only works when the difference is big enough to compensate for the depreciation ( if any) of the higher-yield currency against the lower-yield currency.
With the given information, the strategy will not work because the depreciation of NZ$ against US$ after one-year is too big to be compensated for the yield difference.
For specific example, suppose the strategy is conducted, in 2008, an investor will borrow, for example, US$1 at 4.2%, exchange it to NZ$1.71. Then, invest NZ$1.71 at 9.1%.
In 2019, an investor will get NZ$1.86561 (1.71 x 1.091). The, he/she exchanges at the 2019 exchange rate, for US$1.36176 (1.86561 / 1.37). While at the same time, he will have to pay back 1 x 1.042 = US$1.042 => The loss making in US$ is US$0.32.
Answer & Explanation: The above statement is one found on the interpersonal reactivity index (IRI), specifically, on the empathic concern (EC) scale of the IRI. The EC scale assesses the tendency of individuals to experience feelings of sympathy and compassion for other who are unfortunate.
For example “I often have tender, concerned feelings for people less fortunate than me” would be considered EC positive while "When i see someone being treated unfairly,i sometimes don't feel very much pity for them" would be considered EC negative. Positivity or negativity is determined based on one's ability to experience or not experience sympathy and compassion.
The Interpersonal Reactivity Index developed by Davis (1980, 1983) describes a measure of dispositional empathy. It posits that empathy consists of a set of separate but related constructs and as such the index contains four seven-item subscales, each tapping a separate aspect of empathy, statements that inquire about one's thoughts and feelings in a variety of situations.
Answer:
D. must ensure that long-term goals of the firm are aligned with the short-term goals of each individual within the firm.
Explanation:
According to a different source, these are the options that come with this question:
A. Must evaluate its quarterly profit statement from an ethics standpoint.
B. must state its long-term goals in general terms, so as to not interfere with managers' short-term goals.
C. must always put society's needs ahead of the firm's needs.
D. must ensure that long-term goals of the firm are aligned with the short-term goals of each individual within the firm.
E. should adhere rigidly to legal standards in its industry.
F. The firm does not need to always put society's needs above its own; however, it is important to ensure that short-term behavior supports long-term goals.
A firm does not always need to put the interests of others ahead of its own. Moreover, it does not need to be able to reconcile short and long-term goals in all situations. However, it does need to ensure that, overall, the short-term goals of individuals are not against the long-term goals of the firm. In this way, it can better ensure a long-lasting impact and success.
