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2 years ago

The first step in stock valuation requires:____.

1 answer:

5 0

Financial analysis is the first step in stock valuation since it must be able to forecast the company's cash flows, ideally for a period of ten years.

Stock Valuation

Stock valuation is a technique used in the financial markets to determine the hypothetical values of businesses and their stocks. In order to profit from price movement, these methods are primarily used to forecast future market prices, or more generally, potential market prices. Stocks that are deemed to be undervalued (in relation to their theoretical value) are bought, while stocks that are deemed to be overvalued are sold, with the expectation that undervalued stocks will generally increase in value while overvalued stocks will generally decrease in value.

The first method, known as financial analysis, is frequently used to support stock values and is frequently linked with investors and financial analysts. The "income valuation" or discounted cash flow (DCF) approach is the most theoretically sound way to value stocks. It is frequently used in many aspects of finance.

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Factory Overhead Cost Variances Blumen Textiles Corporation began April with a budget for 43,000 hours of production in the Weav

stich3 [128]

Answer:

a. Controllable Variance = 3,800 (Favorable)

b. Volume Variance = 21,600 (Unfavorable)

Explanation:

a. Controllable Variance

Actual variable factory Overhead( 251,800 - 102,600) 149,200

Standard Variable factory Overhead at actual Production

Standard Hours at actual Production (A) 45,000

Variable Factory overhead Rate (B) 3.4

(146,200/ 43,000)

Standard variable factory Overhead (A*B) 153,000

Controllable Variance 3,800 F

b. Fixed factory Overhead volume variance

Volume variance:

Volume at 100% of normal capacity 57,000

Less: Standard hours 45,000

12,000

Fixed Overhead rate (B) (102,600/ 57,000) 1.8

Volume Variance (A*B) 21,600 (Unfavorable)

5 0

3 years ago

Now we have country E, an emerging country. Country E starts off with a GDP per capita of $4,000, and is experiencing a GDP per

swat32

Answer:

6 years

Explanation:

The rule of 72 would be used to determine the number of years it would take GDP per capita to double

Rule of 72 = 72 / GDP per capita growth rate

72 / 12 = 6 years

I hope my answer helps you

5 0

3 years ago

Which kind of food service outlets utilizes an intercom system for customers to order food?

Keith_Richards [23]

Answer: C.

Intercoms are a very useful system for businesses because, it allows the customers to just drive up an order from the machine rather than having to get out of the car and going into the restaurant establishment itself.

8 0

3 years ago

Harper company lends hewell company $40,000 on march 1, accepting a four-month, 6% interest note. harper company prepares financ

Ilia_Sergeevich [38]

Given:
march 1: loaned 40,000 to Hewell Company
loan term, 4 months, 6% interest on note.

On March 31, Harper Company should recognize the interest it will earn from the note of Hewell Company.

40,000 x 6% = 2,400 this is the annual interest
2,400 * 1/12 = 200 monthly interest

March 31
Debit Credit

Interest receivable 200
Interest Revenue 200

8 0

3 years ago

Identify and discuss the five questions that should be answered by a good mission statement.

Blababa [14]

Answer:

PART A

The five questions are as follows

What is my risk tolerance?

How fast am I able to move?

What is my access to capital?

Who do I need to help me get there?

Do I have the capacity that I need to make this journey?

PART B

They where not carefully prepared

They lack the competence required to make a good mission statement

Lack of adequate knowledge about the Organisation

PART C

YES.

Explanation: Mission statement is a short and brief description of why an organisation exists and what are the goals of the Organisations, mission statement are also a statement of what the company wants to achieve.

A good mission statement should ensure that has considered the RISK TOLERANCE LEVEL OD THE ORGANISATION AS IT REGARDS TO INTERNAL AND EXTERNAL THREATS,THE PACE OF THE ORGANISATION, AVAILABILITY OF RESOURCES LIKE FUNDS,WHO ARE THE PEOPLE THAT THE ORGANISATION NEEDS TO ACHIEVE ITS MISSION AND THE AVAILABILITY OF COMPETENT MANPOWER AND THE NEEDED CAPACITY TO ACHIEVE THE MISSION.

Some of the issues that affects a mission statement is when people who are not competent or don't understand the concept of a mission statement or the Organisation are asked to prepare one,it will fail to put these five questions into consideration etc.

7 0

3 years ago