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denis-greek [22]
3 years ago
10

International Imports (I2) pays an annual dividend rate of 10.20% on its preferred stock that currently returns 13.67% and has a

par value of $100.00 per share. What is the value of I2’s preferred stock?
Business
1 answer:
Goryan [66]3 years ago
5 0

Answer:

The market price/value of the share of preferred stock is $74.62

Explanation:

The preferred stock pay 10.2% return on $100 per share which comes out to be 100 * 10.2% = $10.2. This dividend will remain constant no matter what the price in the market is. The price in the market is calculated by dividing the ineterest payment by the current price of the share. The formula for the current return of the preferred stock is:

0.1367 = 10.2 / P

P = 10.2 / 0.1367

P = $74.615 rounded off to $74.62

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As assistant to the CFO of Boulder Inc., you must estimate the Year 1 cash flow for a project with the following data. What is t
dybincka [34]

Answer:

answer is a

Explanation:

7 0
3 years ago
Apr. 2 Purchased $4,600 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shippin
harina [27]

Answer:

Apr-02

Dr Purchase $ 4,600

Cr Accounts payable-Lyon $ 4,600

Apr-03

Dr Transportation - in $ 300

Cr Cash $ 300

Apr-04

Dr Accounts payable-Lyon $ 600

Cr Purchase returns & Allowances $ 600

Apr-17

Dr Accounts payable-Lyon $ 4,000

Cr Purchase discount$ 80

Cr Cash $ 3,920

Apr-18

Dr Purchase $ 8,500

Cr Accounts payable-Frist corp. $ 8,500

Apr-21

Dr Accounts payable-Frist corp. $ 500

Cr Purchase returns & Allowances $ 500

Apr-28

Dr Accounts payable-Frist $8,000

Cr Purchase discount$ 160

Cr Cash $7,840

Explanation:

Preparation of the journal entries to record the above transactions for a retail store. Assume a perpetual inventory system.

Apr-02

Dr Purchase $ 4,600

Cr Accounts payable-Lyon $ 4,600

(Being To record purchase merchandise from Lyon company )

Apr-03

Dr Transportation - in $ 300

Cr Cash $ 300

(Being To record shipping charges paid on above purchase )

Apr-04

Dr Accounts payable-Lyon $ 600

Cr Purchase returns & Allowances $ 600

(Being To record purchase return to Lyon company )

Apr-17

Dr Accounts payable-Lyon $ 4,000

($4,600 -$600)

Cr Purchase discount$ 80

{($4600 - $600)* 2% }

Cr Cash $ 3,920

($ 4,000 -$ 80 )

(Being To record cash paid to Lyon company for above purchase )

Apr-18

Dr Purchase $ 8,500

Cr Accounts payable-Frist corp. $ 8,500

(Being To record purchase merchandise from Frist corp. )

Apr-21

Dr Accounts payable-Frist corp. $ 500

Cr Purchase returns & Allowances $ 500

(Being To record received allowance on above purchase)

Apr-28

Dr Accounts payable-Frist $8,000

($8,500 -$500)

Cr Purchase discount$ 160

{($8,500 -$500)*2%}

Cr Cash $7,840

($ 8,000 -$ 160 )

(Being To record cash paid to Frist corp. for above purchase )

6 0
3 years ago
The Commerce Department reported that in December​ 2015, retail sales rose by 0.2​ percent, net exports​ decreased, inventories
Ksenya-84 [330]

Answer:

GDP reduces.

Explanation:

Gross Domestic Product includes four components:

= Consumption spending + investment spending + Government spending + Net exports

It was given that business experiencing a rise in its inventory (0.1 percent) and reduction in the total sales (0.6 percent).

We know that net exports are added to the nation's GDP, so any change in the net exports will also affect the GDP. Therefore, if there is a fall in the net exports then as a result there is a reduction in the GDP.

6 0
3 years ago
During the maturity phase, cash from operations and net income are approximately the same.
RideAnS [48]
The answer is: b. false
5 0
3 years ago
When an organization with a functional structure diversifies into related product-markets, it generally Multiple Choice maintain
dusya [7]

Answer:

B). Develops a divisional structure.

Explanation:

A functional organizational structure aims to bifurcate the teams or groups on the basis of the functional or specialized area of the employees while a divisional structure organizes the teams in different divisions as per market, product, etc. Therefore, when an organization having a functional structure begins to diversify into product-related markets, it usually develops a 'divisional structure' as it is now focusing on the organization of teams corresponding to the end product or service offered by the organization. Thus, <u>option B</u> is the correct answer.

4 0
3 years ago
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