Answer:
b. $12.67
Explanation:
The value of the company is the present value of its future dividends payments discounted at the company's cost of equity.
Year 1 dividend=current year dividend*(1+12%)
Year 1 dividend=$60m*(1+12%)=$67.20m
Year 2 dividend=$67.20m*(1+12%)=$75.26m
Year 3 dividend=$75.26m*(1+12%)=$ 84.30m
Year 4 dividend=$ 84.30m*(1+12%)=$ 94.41m
Year 5 dividend=$ 94.41m*(1+12%)=$105.74m
the terminal value of dividends=Year 5 dividend*(1+terminal growth rate)/(cost of equity)
the terminal value of dividends=$105.74m*(1+8%)/(16%-8%)=$1427.49m
value of the company=$67.20/(1+16%)^1+$75.26/(1+16%)^2+$ 84.30/(1+12%)^3+$ 94.41/(1+16%)^4+$105.74/(1+16%)^5+$1427.49/(1+16%)^5
value of the company=$956.00 m
value of one share=$956.00 m/75m=$12.75(the correct option is $12.67 the difference is due to rounding error)
Answer:
conceptual skills
Explanation:
Conceptual skills are skills developed by an individual which helps them to understand complex issues and creatively develop a solution or solutions that will successfully deal with the situation. It is a skill that helps in finding solution to difficult situations using innovative approach. People with such skill are considered valuable especially in the field of management. Someone with conceptual skills must have ability or skills in critical thinking, decision making, paying attention to details, etc.
I believe it s3 but not quite sure
Answer:
e) None of the above
Explanation:
We have different ways of classifying costs depending on the goal that is to be achieved. Costs basically fall into two categories, direct costs and indirect costs. Direct costs are costs that are exclusively incurred for the purpose of producing or buying a certain good or service, in fact, the cost came into being because of the existence of whatever is being costed. any cost that is not direct cost is indirect cost.
None of the costs in the question can be termed direct cost
The answer is having no choices.
