Answer:
<em>"A terrible thing happens without publicity...</em><em>nothing</em><em>!"</em>
Answer:
$2.88 per share
Explanation:
The computation of the current dividend per share is shown below:
As we know that
Cost of equity = Next year dividend ÷ current stock price + growth rate
Since the cost of equity is 9%
So growth rate = 4.5%
And, the Next year dividend ÷ current stock price = 4.5%
Therefore, the next year dividend is
= $66.90 × 4.5%
= $3.0105
And, the current year dividend is
Next year dividend = Current year dividend × (1 + growth rate)
$3.0105 = Current year dividend × (1 + 4.5%)
So, the current year dividend is $2.88 per share
Answer:
A) $1,000 gain
Explanation:
When a client buys a straddle, he is purchasing a call and a put option on the same stock with the same strike price and expiration date.
this client bought 5 ABC Jan 30 calls and 5 ABC Jan 30 puts:
each contract was worth $700 (= $3,500 / 5 contracts)
If the price of the stock fall below $30, the call option will not be taken, but the put option will be enforced. Since the value of the stock is $21, this means that the put option resulted in a $900 profit (= ($30 - $21) x 100).
The client paid $700 for each option, therefore his profit per option = $900 - $700 = $200
His total profit = $200 x 5 options = $1,000
Answer and Explanation:
The journal entries are shown below:
On Jan 1
Cash $400,000
To Bonds payable $400,000
(Being the bond is issued for cash)
For recording this we debited the cash as it increased the assets and at the same time it increased the liabilities so the bond payable is credited
On July 1
Interest expense $14,000
To Cash $14,000
(Being the payment of interest is recorded)
The computation is shown below:
= $400,000 × 7% × 6 months ÷ 12 months
= $14,000
For recording this we debited the expenses as it increased the expenses and at the same time it decreased the assets so the cash is credited
On Dec 31
Interest expense $14,000
To Interest payable $14,000
(Being the accrual of interest is recorded)
For recording this we debited the expenses as it increased the expenses and at the same time it increased the liabilities so the interest payable is credited
The answer to this question is a relational database. A
Relational database is a computer database that is stored in which information
and data that is stored have a relation with each other. Relational database is
also a set of tables, records, and columns. The software that is used in a relational
database is called a relational database management system or RDBMS.
