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Snezhnost [94]
2 years ago
14

Which of the following describe the reason(s) why maximization of intrinsic stock value benefits society?

Business
1 answer:
Dafna1 [17]2 years ago
7 0

Answer:

B. Workers prefer companies that minimize operating costs.

C. The owners of stock are society.

D. Successful companies attract more talent.

Explanation:

The intrinsic stock value does not need to reflect the market value of the company stock. However, the intrinsic stock reflects the company's lucrative aspect, something more intuitive that describes the company's operating. Therefore, a high intrinsic stock value reflects a company with great reputation.

A company with high intrinsic stock will surely attract more talent, as the talent pool is motivated by working in a reputable, efficient company. This kind of company is surely cost-effective in terms of operation too.

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Subtract ( p-q)-(p+q)​
omeli [17]

Answer:

Explanation:8s9s88s

6 0
2 years ago
The next 5 questions use the same below information. Company C had the following investment. Help them determine the financial s
valentinak56 [21]

Answer:

$143,600

Explanation:

Calculation for What is net income for 20X1 assuming the investment is short-term

Using this formula

Net income for 20X1 = Sales – Expenses + Unrealized gain on short-term investments

Let plug in the formula

Net income for 20X1 = $1,670,200 - $1,536,600 + $10,000

Net income for 20X1= $143,600

Therefore the net income for 20X1 assuming the investment is short-term will be $143,600

7 0
2 years ago
Why might the unemployment rate underestimate the underutilization of labor​ resources? The unemployment rate might underestimat
DaniilM [7]

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marginally attached staff and​ part-time staff that hope on getting​ full-time jobs

6 0
2 years ago
Which of the following is an essential characteristic of enduringly great companies? They undergo continuous change. They are so
Anit [1.1K]

Answer:

The answer is (A) They undergo continuous change.  

Explanation:

To remain competitive in today’s world, a company must be willing to continue changing according to what the market currently needs and will need in the future. When a company remains stagnant, it would be outpaced by its competitors. Most of the household names that we commonly encounter maintains a spirit of continuous improvement – and we can encounter this from the innovative product they choose to make, better customer experience, or improvement in internal business process.  

7 0
2 years ago
Home Place Hotels Inc. is entering into a 3-year remodeling and expansion project. The construction will have a limiting effect
solong [7]

Answer:

$291.56

Explanation:

Find the dividend amount per year;

D1 = D0(1+g ) = 3.40(1+0) = 3.40

D2 = 3.40*(1.05) =3.57

D3 = 3.57*(1.05) =3.7485

D4= 3.7485*(1.15) = 4.3108

D5 = 4.3108 *(1.10) = 4.7419

Find the Present value of each year's dividend;

PV (of D1) = 3.40/ (1.14 ) = 2.9825

PV (of D2) = 3.57/ (1.14² ) = 2.7470

PV (of D3) = 3.7485/ (1.14³ ) = 2.5301

PV (of D4) = 4.3108/ (1.14^4 ) = 2.5523

PV (of D5 onwards)=\frac{\frac{4.7419}{0.14-0.1} }{1.14^{4} } \\ \\ =\frac{474.19}{1.6890}

PV (of D5 onwards) = 280.7519

Next, sum up the PVs to find the maximum price of this stock;

= 2.9825 + 2.7470 + 2.5301 + 2.5523 + 280.7519

= 291.564

Therefore, an investor should pay $291.56

7 0
2 years ago
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