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Vesna [10]
3 years ago
12

ART has come out with a new and improved product. As a result, the firm projects an ROE of 27%, and it will maintain a plowback

ratio of 0.20. Its earnings this year will be $4.0 per share. Investors expect a 15% rate of return on the stock. What price do you expect ART shares to sell for in 4 years
Business
1 answer:
emmasim [6.3K]3 years ago
4 0

Answer:

$41.14

Explanation:

Dividend per share=$4

Divided=1-retained profits=1-.2=.8

Cost of equity=15%

Growth rate=27%*.2=5.4%

The formula is;

Current Stock price=Dividend/(cost of equity-growth rate)

Current stock price=4(1-.2)/(.15-.27*.2)=$33.33

Share price after 4 year will be=$33.33(1+.27*.2)^4=$41.14

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Sheffield Corp. had credit sales of $1696000. The beginning accounts receivable balance was $175000 and the ending accounts rece
Aleks04 [339]

Answer:

$1,574,000

Explanation:

Cash collections from customers during the period using direct method is computed as;

= Credit sales + Beginning accounts receivables - Ending accounts receivables

= $1,696,000 + ($175,000 - $297,000)

= $1,692,000 - $122,000

= $1,574,000

7 0
3 years ago
The Supreme Court separated the "mandatory" element of the Federal Sentencing Guidelines for Organizations from their advisory r
Alla [95]

Answer:

C) violated the Sixth Amendment right to a jury trial.

Explanation:

Federal Sentencing Guidelines should be guided by the following principles:

  • The court should order the organization to remedy any harm caused.
  • If the primary purpose of the organization was to commit crimes, then the court should set a fine that strips away all the assets from the organization.
  • The court should set fines based on how serious the offenses were and the degree of culpability of the organization.
  • The court can impose a probation sentence if it believes that the organization will take steps to reduce the likelihood of future criminal conduct.

The sentencing guidelines should offer incentives for organizations to eliminate criminal conduct.

7 0
3 years ago
On April 30, Gomez Services had an Accounts Receivable balance of $24,600. During the month of May, total credits to Accounts Re
Nataliya [291]

Answer: $53,600

Explanation:

Credit sales increase the balance on Accounts Receivables because they represent that people owe the business.

It is therefore included in the formula for calculating the ending balance of Accounts Receivables:

Ending accounts receivables = Beginning accounts receivable + Credit sales in May - Customer payments during May

19,000 = 24,600 + Credit Sales in May - 59,200

Credit Sales in May = 19,000 + 59,200 - 24,600

= $53,600

4 0
3 years ago
You put half of your money in a stock portfolio that has an expected return of 14% and a standard deviation of 24%. you put the
irinina [24]
I got u need help or nah
7 0
3 years ago
Four candidates with the same qualification are interviewed for the position of sales representative. looking at the given chara
Tamiku [17]

A sales representative is a person who works for a particular brand or company and helps in selling the products or services of a company while at the same time representing the brand. The sales representative basically works by contacting the customer until the time the product is sold or the customer had made use of the service.

There are certain skills required by the sales representative like-

  • Communication skills- good communication skills are required by every sales representative, as it enable a person to represent his and his company’s views more efficiently.
  • Negotiation skills – these skills also ensure that you can make good relations with other big companies that widen your brand network.
  • Public skills – these will help you in better public speaking whenever you have to give presentations on a brand’s goals or views.
  • Organizational skills- as the workload is more you will need to organize yourself so you can complete your tasks on time.
  • Therefore, out of the four candidates, the person who has all these important skills will get selected in the interview for sure and moreover, and will surely impress his employer with these certain skills.

Learn more about Pre-approach selling process here-

brainly.com/question/25586322

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3 0
1 year ago
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