Answer:
The correct answer is True.
Explanation:
The Gordon growth model is a method of valuing a company's share price, using constant growth and discounting the value of future dividends today. Gordon Growth is often known by its English name.
It is a dividend discount model that assumes that the growths that the company will experience are constant. It is based on the theory that the price of a share should be equal to the price of the dividends that the company is going to pay, discounted to its net present value.
If the share price in the market is less than the result obtained by the discounted dividend model, the share is undervalued and therefore, it is recommended to buy. If, on the other hand, the market price is higher than that of the model, it is understood that the share price is too high.
As long as the rate of return is bigger than the inflation, the value and amount of money will increase and so will the purchasing power: the correct answer is "it will increase".
For example, if you invest 100 dollars, you will receive 108 dollars back, and you'd need 103 dollars to have the same value of money as before - but you have more.
Answer:
$628.49
Explanation:
Cash flows Discount factor Future value
$100 1.1449 $114.49
$200 1.07 $214
$300 1 $300
Future value $628.49
The discount factor is as follows
= (1 + interest rate)^number of years
For $100 the year is 2
For $200 the year is 1
For $300 the year is 0
Answer:
b. 320000
Explanation:
In order to calculate the joint cost of Gorp we need to understand what the method means and how it's used to calculate it. The adjusted sales method is used to allocate joint costs based on the prices the products are sold.
First of all we need to calculate the percentage of Selling price of Gorp to that of the total selling price of both Gorp and Gumm.
I.e: 60 ÷ (60+30) × 100
SP % of Gorp= 66.67%
Now we calculate joint cost allocated to Gorp.
Total joint cost of both Gorp and Gumm = $480000
Joint cost of Gorp = $480000 × 66.67%
Joint cost of Gorp = $320,000
<span>"Stuck-at-0 fault" is a term used to describe what fault simulators use as a fault model to simulate a manufacturing defect. When "stuck-at-fault-0" occurs, one of the wires is broken, and will always register at logical 0</span>
