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mr_godi [17]
3 years ago
12

You notice that​ Coca-Cola has a stock price of $ 40.68 and EPS of $ 2.04. Its competitor PepsiCo has EPS of $ 3.43. ​But, Jones

​ Soda, a small batch​ Seattle-based soda producer has a​ P/E ratio of 35.2. Based on this​ information, what is one estimate of the value of a share of PepsiCo​ stock? g
Business
1 answer:
Finger [1]3 years ago
7 0

Answer:

Estimate Value of a share= $71.81

Explanation:

<em>The value of a share can be determined using the price earning  ratio model. According to this model, the price of a share is estimated as the EPS of the company multiplied by a representative P/E ratio.</em>

Value of share = EPS × P/E

The appropriate P/E ratio would be that of a similar operator in the same industry, in this case , Jones Soda.

Hence the estimate value of share =2.04 × 35.2=71.81

Estimate Value of a share= $71.81

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Analyse the impact of an enterprise using break even analysis to make business decisions
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Answer:

Using break-even analysis in your feed and grain business can help you understand and examine the profit drivers of your business. It is a very useful tool that can help you understand how much you need to sell to cover your costs and how pricing, cost, and volume changes impact these needed sales.

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3 years ago
Discuss the economic importance of the tertiary sector <br>​
vovikov84 [41]

Answer: sector provides basic services such as hospitals, educational institutions, post and telegraph services, police stations, courts, municipal corporations, defence, banks, insurance etc. ... Thus, tertiary sector is certainly important for the development of other sectors in an economy.

Explanation:

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3 years ago
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Your friend currently works as an accountant at a public accounting firm in the small town of Beaver Falls, Pennsylvania. He is
Papessa [141]

Answer:

A. your friend most likely should not be quite so excited because the extremely high cost of living in New York City means his real salary increase will be less than he imagined.

Explanation:

Here are the options to this question :

A. your friend most likely should not be quite so excited because the extremely high cost of living in New York City means his real salary increase will be less than he imagined.

B. your friend has no reason to be excited because higher pay implies more job responsibilities and more working hours.

C. your friend has every reason to be excited because he will be getting paid 120% of what he used to be paid.

D. your friend has reason to be excited because in a bigger city he will have more things to do and his higher salary will allow him to spend on those activities.

Cost of living in a big town is higher than living in a small town. Even though the nominal income of my friend has increased, the real income might not have increased due to the high cost of living in a big city.

Nominal income is the money income being earned. My friend's nominal income would increase from $50,000 to $60,000 if he takes the new job.

Real income is the purchasing power of income

5 0
3 years ago
The Callie Company has provided the following information: Operating expenses were $237,000; Cost of goods sold was $364,000; Ne
Kobotan [32]

Answer:

$506,000

Explanation:

The gross profit of a company is the balance left after the deduction of costs associated with producing or selling of the company's goods or cost associated with providing services from the net revenue

The gross profit is simply calculated as

= Net revenue - Cost of goods sold

= $870,000 - $364,000

= $506,000

Therefore, Callie's gross profit is $506,000

3 0
3 years ago
The study done by the Committee of Sponsoring Organizations (COSO) on financial statement frauds that occurred during the period
Nadya [2.5K]

Answer:

Most of these firms had audit committees that met at least four times a year.

Explanation:

COSO stands for Committee of Sponsoring Organization, which is an organization that is dedicated to offering the thought of guidance as well as leadership on the fraud deterrence, internal control and management of  enterprise risk.

From the findings which is not found as fraud is that the most of the firms or businesses had committees of audit which met at least 4 times a year.

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3 years ago
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