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almond37 [142]
3 years ago
6

Robert Gillman, an equity research analyst at Gillman Advisors, believes in efficient markets. He has been following the mining

industry for the past 10 years and needs to determine the constant growth rate that he should use while valuing Pan Asia Mining Co. Robert has the following information available: O Pan Asia Mining Co.’s stock (Ticker: PAMC) is trading at $22.50.O The company has forecasted net income and book value of equity for the coming year to be $1,420,200 and $11,115,000, respectively.O The company has also been paying dividends for the past eight years and has maintained a dividend payout ratio of 45.0%. A) Based on this information, Robert’s forecast of PAMC’s growth rate in earnings and dividends should be: a. 7.03% b. 31.95% c. 28.75% d. 8.62%
Business
1 answer:
Burka [1]3 years ago
3 0

Answer:

a. 7.03%

Explanation:

We need to solve for the rate of sustainable growth which is the amount of growth without chanign the capital structure of the company

ROE ( 1 - dividend payout) = sustainable growth

ROE income / equity = 1,420,00 / 11,115,000 = 0.127755285

0.127755285 ( 1 - 0.45) = 0.0702654 = 7.03%

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Companies do their own tracking and monitoring of their customersâbehavior and they also hire research firms to do which type of
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Answer:

A) primary research

Explanation:

Primary research is defined as a methodology used by researchers to collect data directly, rather than depending on data collected from previously done research. Technically, they “own” the data.

Primary research is solely carried out to address a certain problem, which requires in-depth analysis.

Companies that specialize in interviewing, observing, recording and analysing the behaviour of those who purchase good and service are called primary research suppliers.

7 0
4 years ago
Crowl Corporation is investigating automating a process by purchasing a machine for exist793, 800 that would have a 9 year usefu
abruzzese [7]

Answer:

5.80% , option A is correct

Explanation:

The formula for the simple rate of return on the investment=annualprofit/net amount invested

annual profit amount=savings in cash operating costs-annual depreciation on the new machine=$133,000-$88, 200=$ 44,800.00  

net amount of investment=pruchase cost of new machine-the scrap value of the old machine=$793, 800-$21, 200=$ 772,600.00  

simple rate of return on  investment=$ 44,800.00/$ 772,600.00=5.80%

7 0
4 years ago
The average management fee for all mutual funds is:
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The best choice is C, 0.50% to 1.25%, because they are only allowed to do roughly about 1% on mutual funds by state requirements and laws in the United States and other major economic groups. This interval is best because A is insanely low on mutual funds and would make the nation impossible to sustain itself, B is a bit too low, and D is absurdly high because 2.50% is a violation. Found this helpful? Give it a Brainiest Award.
7 0
3 years ago
"As a result of the increase in government​ expenditures, the" A. money supply curve will shift right. B. money supply curve wil
blondinia [14]

Answer:

A. money supply curve will shift right.

Explanation: when the supply of money is increase by the central bank,the money supply curve will shift right. Leading to a lower interest rate,but,the money supply curve shifts left, when the supply of money falls,which leads to higher interest rate.

8 0
3 years ago
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Primary producers are the basis for all aquatic and terrestrial food webs. How does the amount of primary production affect comm
abruzzese [7]

Answer:

The primary production has no direct relationship to the community structure.

Explanation:

The primary production has no direct relationship to the community structure. Basically, food web represents feeding relationships within a community The Food web is an important conceptual tool for illustrating the feeding relationships among species within a community, revealing species interactions and community structure, and understanding the dynamics of energy transfer in an ecosystem.  The more energy available from primary producers, the more species that could be supported at higher trophic levels in the community .In order words ,the more energy available from primary producers, the more individuals that could be supported at higher trophic levels in the community

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3 years ago
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