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meriva
2 years ago
7

an analyst with a leading investment bank tracks the stock of mandalays inc. according to her estimations, the value of mandalay

s inc.’s stock should be $8.79 per share, but mandalays inc.’s stock is trading at $1.59 per share on the new york stock exchange (nyse). considering the analyst’s expectations, the stock is currently:
Business
1 answer:
Airida [17]2 years ago
6 0

Considering the analyst’s expectations, the stock is currently undervalued.

<h3>What is an undervalued stock?</h3>

A stock is used by public companies to raise capital. Stockholders are referred to as the owners of the firm. Stockholders are paid dividends.

When the market vale of stock is less than the intrinsic value, the stock is said to be undervalued. When a stock is undervalued, it is expected that the value of the stock would appreciate with the passage of time.

To learn more about a stock, please check: brainly.com/question/15710204

#SPJ1

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Billion of Dollars
Oksi-84 [34.3K]

Answer:

GDP by expenditure method=C+I+G+X-M

=6300+2300+4521+3120-200

=$16,041 billions

GDP at MP by income method= wages+ rent+ interest+ Corporate profit+ Proprietor income+ Depreciation+ indirect business tax

=8174+365+903+1895+1343+1987+1341

=$16,008 billions

Statistical discrepancy= GDP by expenditure method - GDP by income method

=16,008-16041

=$33 billions

5 0
3 years ago
Computech Corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends.
klasskru [66]

If the required return on Computech is 18% the value of the stock in today's calculation is $11.77

<h3>What is the growth rate of a stock?</h3>

This is the percentage change of the stock based on the annualized growth rate over a period of time.

D3 = $0.75

D4 = 0.75 x 1.49 = $1.1175

D5 = 1.1175 x 1.49 = $1.665075

D6 = $1.665075 x 1.10 = $1.8315825

At a growth rate of 10 percent

\frac{D6}{R-G}

1.8315825/0.18-0.10

= $\frac{0.75}{1.18^3} +\frac{1.1175}{1.18^4} +\frac{1.665075}{1.18^5} +\frac{22.89478125}{1.18^5} \\

= 0.456473 + 0.576394 + 0.7278196 + 10.0075198

= $11.77

The value of this stock today is  $11.77

Read more on stocks here: brainly.com/question/25818989

7 0
3 years ago
Signal mistakenly produced 1,000 defective cell phones. The phones cost $65 each to produce. A salvage company will buy the defe
Contact [7]

Answer:

It is more profitable to continue to rework the phones and sell them.

Explanation:

Giving the following information:

Signal mistakenly produced 1,000 defective cell phones.

<u>The $65 per phone is a sunk cost. It will remain on both decisions, therefore, we will not take into account to make the decision.</u>

Sell as it is:

Income= 33*1,000= $33,000

Rework:

Costs= 88*1,000= $88,000

Sales= 144*1,000= $144,000

Total gain= $56,000

It is more profitable to continue to rework the phones and sell them.

3 0
3 years ago
Carbondale Oil announces that a wildcat well that it has sunk in a new oil province has shown the existence of substantial oil r
inn [45]

Answer:

B. rise by $6.46

Explanation:

For computing the increase per share, first we have to compute the present value of cash flows which is shown below:

The present value of cash flows = Free cash flows × present value factor for 8 years at 8%

= $90,000,000 × 5.7466

= $517,194,000

Refer to the present value interest factor table (PVIFA table)

Now increase per share would be

= Present value of cash flows ÷ number of outstanding shares

= $517,194,000 ÷ 80,000,000 shares

= $6.46

5 0
3 years ago
ABC Motors ordinarily deals in used cars and does some amount of repair work. Robby entrusted his automobile to ABC Motors to ha
AlladinOne [14]

Answer: e. The manager is incorrect.

Explanation:

Based on the information given in the question, the statement that's true regarding the manager's statement that Robby's only recourse is against Connie is that the manager is incorrect.

It should be noted that Connie wasn't aware that the car didn't belong to ABC motors thereby Robby's only recourse is not against Connie. The manager should be able to protect the vehicles brought to the company. In this case, the company is liable and Robby can take up a case against them.

Therefore, the correct option is E

7 0
3 years ago
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