Answer:
The expected/required rate of return is 13.8125%.
Explanation:
The stock is a constant growth stock as the dividends are expected to grow constantly forever. The constant dividend growth model of DDM is used to calculate the price of such a stock today. As we already know the price, we will use the formula of the constant growth model to determine the required rate of return. The formula for constant growth model is:
P0 or Price today = D1 / r - g
Plugging in the available known values,
16 = 1.25 / (r - 0.06)
16 * (r - 0.06) = 1.25
16r - 0.96 = 1.25
16r = 1.25 + 0.96
r = 2.21 / 16
r = 0.138125 or 13.8125%
Personal computers
Sentence:
Examples of services are personal computers.
Answer:
.sell securities on the open market
Explanation:
Aggregate demand is simply a schedule or a curve. It said to shows the total quantity of goods and services demanded (purchased) at various price level.
Aggregate demand-aggregate supply (AD-AS) model is macroeconomic model that uses aggregate demand and aggregate supply to determine and explain the price level and the real domestic output.
Answer:
B. what businesses believe will generate the most profits.
Explanation:
A market economy is one where the factors of production are owned by the private sector. Production and distribution of products and services are in the hands of private individuals and firms. The government's role is mostly regulation and the provision of public goods.
In the market economy, the private sector engages in business to make profits. They risk their resources in producing goods and services that can increase their wealth. Only the products that are likely to generate profits are produced.
I recommend Bizcom to install <u>an extranet, to enable quick collaboration over the Internet, minimize the time spent communicating with the client, and minimize the amount of paperwork needed</u>.
<u>Explanation</u>:
Extranet is a kind of private network that helps organizations to exchange the information securely over Internet. The extranet can be used by vendors, suppliers and authorized set of customers to enable communication.
Internet helps in enabling quick collaboration and also reduces the paperwork. As all the information can be confidentially shared and stored using the Internet, the use of paper can be reduced. The time spent for communicating with the client can also be reduced.
In the above scenario, Bizcom has its consultants from various places. It is difficult to travel to every place and organize meeting. So installing an extranet can help them in keeping connected.
