Answer:
$102.34
Explanation:
to be able to use the Gordon growth model, we must first determine the growth rate:
(4.15 - 4) / 4 = 3.75%
(4.35 - 4.15) / 4.15 = 4.82%
(4.58 - 4.35) / 4.35 = 5.29%
we can assume that the company will expect the growth rate to be 5.29%
stock price = (dividend + growth rate) / (required rate of return - growth rate)
= ($4.58 x 1.0529) / (10% - 5.29%) = $4.82 / 4.71% = $102.34
What is inflation?
Monetary value of final goods and services produced within a country for a specific time period.
Answer:
debit cash $250,000; credit notes payable $250,000
Explanation:
July 1, journal entries should be:
- Dr Cash account 250,000
- Cr Notes Payable account 250,000
Since cash is an asset account and it increases (the company receives money), it should be debited.
Since notes payable is a liability account and it increases, it should be credited.
Answer:
1. cash
Explanation:
A cash account is one in which investor must pay the full amount of securities that were purchased. When using this type of account investor is not allowed to borrow from his broker so he must have sufficient funds available before purchasing securities.
Margin account in the other hand can lend money to the investor in case his balance is insufficient. The securities in the investor's portfolio will serve as collateral for the loan collected.
For example if an investor sells stock the money should be available after 3 days. In cash account investor has to wait for the full 3 days before withdrawal is made, while for margin account withdrawal can be made immediately by borrowing finds from the broker.
Answer: heavy promotion and low (exclusive) availability
Explanation:
The wrong combination is high promotion and low availability, because when a product is highly promoted it would lead to high interest in that product from the consumers, this would lead to a high demand for that product from customers. And this high demand needs to be met with high supply, which is not the case here, therefore scarcity would set in.
