1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Bess [88]
4 years ago
5

Krell Industries has a share price of $ 22.00 today. If Krell is expected to pay a dividend of $ 0.88 this year and its stock pr

ice is expected to grow to $ 23.54 at the end of the​ year, what is​ Krell's dividend yield and equity cost of​ capital? The dividend yield is nothing​%. ​(Round to one decimal​ place.) The capital gain rate is nothing​%. ​(Round to one decimal​ place.) The total return is nothing​%. ​ (Round to one decimal​ place.)
Business
1 answer:
tigry1 [53]4 years ago
4 0

Explanation:

The computation is shown below::

The dividend yield = Annual dividend ÷ Market share price

where,

Market share price = $22 per share

Annual dividend = $0.88 per share

So, the dividend yield = ($0.88 per share ÷ $22 per share) × 100

= 4.0%

The capital gain rate is

= (Expected share price - initial price) ÷ (Initial price) × 100

= ($23.54 - $22) ÷ ($22) × 100

= $1.54 ÷ $22 × 100

= 7.0%

Now the total return is

=(Expected share price + expected dividend - initial price) ÷ (Initial price) × 100

= ($23.54 + $0.88 - $22) ÷ ($22) × 100

= $2.42 ÷ $22 × 100

= 11.0%

You might be interested in
Bedrock Company reported a December 31 ending inventory balance of $416,000. The following additional information is also availa
Brrunno [24]

Answer:

$392,400

Explanation:

The computation of correct balance for ending inventory on December 31 is shown below:-

Correct balance for ending inventory = Ending inventory – Office supplies

= $416,000 - $23,600

= $392,400

Therefore for computing the correct balance for ending inventory we simply deduct the office supplies from ending inventory and ignore all other amounts as they are not relevant.

3 0
3 years ago
The process by which management evaluates long-term investment decisions involving long-term operational assets is called?
GalinKa [24]

The process by which management evaluates long-term investment decisions involving long-term operational assets is called capital investment analysis.

Companies and governmental organisations use capital investment analysis as a budgeting technique to evaluate the prospective profitability of a long-term investment. Long-term investments, such as those in fixed assets like machinery, equipment, or real estate, are evaluated using capital investment analysis. Finding the choice that can provide the maximum return on investment is the aim of this approach. Businesses may employ a variety of approaches to conduct capital investment analysis, which entails computing the cost of financing, the risk-return of the project, and the expected value of projected future cash flows from the project.

Investments in capital are risky since they entail sizable upfront costs for assets meant to last for many years and that will take a long time to pay for themselves. A capital project must meet a number of fundamental criteria, one of which is an investment return that exceeds the hurdle rate, or needed rate of return, for the firm's shareholders.

Learn more about investment here brainly.com/question/17252319

#SPJ4

8 0
1 year ago
The second stage of the consumer buying process is?
zubka84 [21]
Well i suppose the second stage involves the information search of the consumer buying process.<span />
3 0
3 years ago
A loop invariant property is ________________. Group of answer choices A set of statements in the loop that are always executed
makkiz [27]

Answer:

The correct answer is: A set a variables that do not change throughout a loop.

Explanation:

In computer science, a loop invariant property refers to a statement that is true about a program variable before and after each iteration of a loop. The loop invariant has three (3) properties: initialization (<em>true before the first execution</em>), maintenance (<em>true after the iteration</em>), and termination (<em>the invariant loop must provide useful information after terminated</em>).

4 0
3 years ago
What percent of american workers were unemployed during the great depression.
PIT_PIT [208]
About 24.9% workers were unemployed
8 0
2 years ago
Other questions:
  • Monte’s Coffee Company purchased packaging equipment on January 5, 2014, for $86,900. The equipment was expected to have a usefu
    10·1 answer
  • Dave's boss told him that he doesn't have to attend the company picnic (which everybody dislikes) if dave meets his sales quota
    14·1 answer
  • Tariffs, Quotas, and Boycotts are examples of
    14·1 answer
  • During 2004, ABC Company had $750,000 of net credit sales. Accounts Receivable had a December 31, 2004, balance of $250,000.
    10·1 answer
  • When preparing for a business trip to China, Kaylee Putbrese determined she needed to bring $5,200. How much must she borrow for
    6·2 answers
  • Which of the following statements is true of inflation? Group of answer choices
    15·1 answer
  • The difference between the actual price that a producer receives and the minimum acceptable price the producer is willing to acc
    9·1 answer
  • Use the following information to answer the question: Stock’s Expected State of Probability of Return if this the Economy State
    7·1 answer
  • Crane Company sells 50000 units for $10 a unit. Fixed costs are $350000 and net income is $100000. What should be reported as va
    12·1 answer
  • Which kind of food service outlets utilizes an intercom system for customers to order food?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!