The expected value (EV) is a
probable value for a given investment. By calculating expected values,
investors can decide the scenario most likely to give them their preferred result.<span>
<span>
Formula for expected value is:</span></span>
Expected value = stock return’s annual
dividend divided by (required return – dividend growth rate)
P₅= [$1.40×(1 + 0.02)₆<span>]/(0.16 - 0.02) = $11.26</span>
The answer is $11.26
The African American women is afraid that she will be racially profiled by the workers/customers in the upscale shop.
The company utilizes a standard discount rate crosswise over various lines of business in light of the fact that the deliberate hazard over their distinctive business lines is the same. The financing cost charged to business banks and other store foundations for advances got from the Federal Reserve Bank's markdown window.
Answer:
Multipier is 1/(1-.8) = 5
a. AD Shortfall/Multiplier = 100/5 = 20 billion
b. FS/MPC = 20/ .8 = 25 billion
c. 20 billion
Answer:
I. It helps users to be better informed, so they can evaluate the risks and returns of different business decisions.
II. It collects and processes data from transactions and events.
III. It organizes financial information into useful reports.
IV. It communicates financial information to decision makers.
Explanation:
Financial accounting is an accounting technique used for analyzing, summarizing and reporting of financial transactions like sales costs, purchase costs, payables and receivables of an organization using standard financial guidelines such as Generally Accepted Accounting Principles (GAAP) and financial accounting standards board (FASB).
The fundamental functions of an accounting system includes;
I. It helps users to be better informed, so they can evaluate the risks and returns of different business decisions.
II. It collects and processes data from transactions and events.
III. It organizes financial information into useful reports.
IV. It communicates financial information to decision makers.
