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Anna007 [38]
3 years ago
13

Illustrate the following with supply and demand curves:

Business
1 answer:
Ilya [14]3 years ago
4 0

Answer:

Please see attachment

Explanation:

Please see attachment

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DAA's stock is selling for $15 per share. The firm's income, assets, and stock price have been growing at an annual 15 percent r
DaniilM [7]

Answer:

This question is incomplete since the required return is not pasted here. I checked on the web and found similar question with the firm's required rate of return is 18 percent. You can use this to solve the question as follows.

Explanation:

Use Dividend Discount Model (DDM) to find the intrinsic value of the stock.

Find the present value of dividends

D3 = 2

PV(of D3) = 2/(1.18^3) = 1.2173

D4 = D3(1+g) = 2(1+0.06) = 2.12

PV(of D4) = \frac{\frac{2.12}{0.18-0.06} }{1.18^{3} }

PV (of D4) = 17.6667/ 1.6430 = 10.7527

Next, sum up the present values ;

= 1.2173 + 10.7527

= $11.97

Therefore, DAA's stock is currently overpriced ,so you should not buy it since it is only valued at $11.97 and not $15.

6 0
3 years ago
Suppose Mexico’s opportunity cost for producing 1 unit of food is 3 units of clothing and the United States’ opportunity cost fo
Paul [167]

Answer:

Mexico export 1 unit of cloth and  import 2 unit of food

Explanation:

given data

Mexico’s cost producing 1 unit of food = 3 units of clothing

US cost producing 1 unit of food = 0.5 units of clothing

Trade  ratio = 1:1

to find out

How beneficial would it be for Mexico

solution

as given in question we know that Mexico opportunity cost of producing food is lower in the US

so here United States will produce food and Mexico will produce cloth

and trade ratio is 1:1 so that  Mexico has export 1 unit of cloth and can import 1 unit of food

and

when the trade ratio is 1 unit of clothing for every 2 unit of food

Mexico export 1 unit of cloth and  import 2 unit of food

so as that Mexico will gains more by  later trade ratio

8 0
3 years ago
A budget represents the plans that a company has in place to achieve its goals.
goldfiish [28.3K]
I believe the answer is A. True
5 0
3 years ago
Read 2 more answers
At Abendreg, a multinational law firm, only English-speaking trainers are given the opportunity to impart training to employees
geniusboy [140]

Answer:

Adverse impact

Explanation:

Adverse impact is the unpleasant effect of a bias segmentation of a particular group during selection procedures such as employment, hiring, training, layoff or appraisal processes. Adverse impact in a work place processes may give rise to discrimination directed to a particular group base on a given attributes such as qualifications, ability, age, gender etc.

In this question, the company has most of its branches in English-speaking countries hence they only gave preferences to English-speaking trainers to impart training to employees in different countries

7 0
3 years ago
Flannigan Company manufactures and sells a single product that sells for $450 per unit; variable costs are $270. Annual fixed co
Maslowich

Answer:

Contribution margin per unit = $180

Explanation:

The contribution margin per unit is the amount that each unit contributes towards covering the fixed costs of the company after the variable cost of each unit has been covered. It is calculated by deducting the variable cost per unit from the selling price per unit.

Contribution margin per unit = Selling price per unit - Variable cost per unit

Contribution margin per unit = 450 - 270

Contribution margin per unit = $180

7 0
4 years ago
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