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2 years ago

Sankey co. has earnings per share of $4. 25. the benchmark pe is 19. 4 times. What stock price would you consider appropriate?

Business

1 answer:

Rashid [163]2 years ago

6 0

An appropriate stock price will be $82.45 ($4.25 * 19.4).

The most common manner to price stock is to compute the organization's rate-to-income (P/E) ratio. The P/E ratio equals the enterprise's stock rate divided via its maximum lately suggested income in line with proportion (EPS). A low P/E ratio means that an investor buying the inventory is receiving an appealing amount of value.

The time period inventory fee refers to the current rate that a proportion of inventory is bought and sold for available on the market. Every publicly-traded company, when its shares are issued, is given a fee – a challenge in their value that ideally reflects the price of the corporation itself.

An inventory is a general term used to explain the ownership certificates of any organization. A proportion, on the other hand, refers to the inventory certificate of a selected organization. Protecting a specific employer's percentage makes you a shareholder.

Learn more about the organization here brainly.com/question/1288780

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Howie Long has just learned he has won a $500,000 prize in the lottery. The lottery has given him two options for receiving the

Contact [7]

This decision will depend on whether or not Howie needs immediate money and the rate of inflation. Assuming there is no inflation, as the issue did not mention it, and Howie prefers the decision that yields the greatest financial reward, simply calculate and lower the tax in each situation, and then compare them.

<u>Scenario 1:</u> Total receipt upon ticket delivery with 46% deduction

46% = 46 \ 100 = 0.46

To find the value to be deducted, let's multiply the total by 0.46

500,000 * 0.46 = $ 230,000

That way Howie would get $ 500,000- $ 230000 = $ 270,000

<u>Scenario 2:</u> 25 installments of $ 36,000 with 25% deduction

The gross total will be 25x $ 36,000 = $ 900,000

Now it is enough to decrease 25% of the total amount, to find the amount of the tax.

25% = 25 \ 100 = 0.25

$ 900,000 * 0.25 = $ 225,000

Finally, simply decrease the amount received by the tax amount:

$ 900,000- $ 225,000 = $ 675,000

Therefore, Howie would be better off if he opted for the installment payment.

8 0

3 years ago

All of the following are arguments against an explicit inflation targeting rule for monetary policy except:

White raven [17]

Answer:

C. An explicit target is easier to understand by households and firms which makes monetary policy more transparent.

Explanation:

Explicit inflation targeting is a monetary policy used by central banks to check inflation rate is under control for medium term. However, critics target this policy as they believe that instead central bank should have monetary policy for long term inflation control and economic growth for long term. Product price targeting or nominal income targeting would create more economic stability.

3 0

3 years ago

What is the range for the relative price of cloth such that the economy produces both cloth and food? From _______ to _______ .

dezoksy [38]

The answer is explained in detail below

Explanation:

$a_{KC} = 2$

$a_{LC} = 2$

$a_{KF} = 3$

$a_{LF} = 1$

Labor, L = 2000; Capital, K = 3000

Labour constraint,

$2Q_{c} + Q_{F} \leq 2000$

Capital constraint ,

$2Q_{c} + 3Q_{F} \leq 3000$

Solving the equation further, we get

$Q_{F} \leq 2000 - 2Q_{C}$

$Q_{F} \leq 1000 - \frac{2}{3} Q_{C}$

The range for the relative price of cloth such that the economy produces both cloth and food is 2/3 and 2

Low cloth production → economy will use relatively more labor to produce cloth → opportunity cost of cloth is 2/3rd units of food.
High cloth production → economy dips on labor → taking capital away from food production → raising opportunity cost of cloth to 2 units of food.

If relative price of cloth lies between 2/3 and 2 units of food, the economy produces both goods.
If the price of cloth decreases below 2/3 → complete specialization in food production → low compensation for producing cloth
If the price of cloth rises above 2 → complete specialization in cloth production → low compensation for producing food

4 0

3 years ago

You are a struggling song writer. You hear a group on the radio singing a song

alexira [117]

Answer:

B. A retraining order i guess

6 0

3 years ago

"One of the key factors a plaintiff (employee) must prove in a wrongful discharge lawsuit based on the public policy tort except

Cerrena [4.2K]

Answer:

Clarity

Explanation:

Employment-at-will is the situation whereby an organization enters into a contractual relationship with an employee stating that they can be dismissed by the organization for any reason even without warning on the condition that the dismissal is not Illegal. Thus, to prove a wrongful dismissal based on public tort exception to employment at will is clarity.

7 0

3 years ago