According to my opinion, what the agent did wrong is that he asked him to write the answers of the questions two more times because when we write again and again the same thing our handwriting changes.And what the agent did right is that he influenced him to compose all that he says as he directs the data to the suspect because in this way they can see whether the handwriting matches it or not.

5 0

3 years ago

Hi-Tek is a young start-up company. No dividends will be paid on the stock over the next 15 years, because the firm needs to plo

Zolol [24]

Answer:

current share price = $5.40

so correct option is C. $5.40

Explanation:

given data

dividends paid = 15 years

pay = $6 per share

increase = 4%

to find out

current share price

solution

we know that Value after year 15 will be = ( D15 × Growth rate) ÷ (required return - growth rate) ......................1

put here value

Value after year 15 = $\frac{6*(1+0.4)}{0.16 - 0.04}$

Value after year 15 = $52

so here current share price will be

current share price = Future dividends × Present value of discounting factor

current share price = $\frac{6}{(1+0.16)^{16}}+\frac{52}{(1+0.16)^{16}}$

current share price = $5.40

so correct option is C. $5.40

4 0

3 years ago