Answer:
Value per share today is $13.28
Explanation:
The sustainable growth rate can be calculated using the following formula,
Sustainable growth rate (g) = ROE * (1 - DividendPayout Ratio)
Where,
- ROE is the return on equity
- (1- dividend payout ratio) also known as retention ratio
Thus, g = 0.07 * (1-0.6) = 0.028 or 2.8%
The formula for price or intrinsic value per share is,
P0 or V = D1 / r-g
The earnings per share is Net income per share. Out of this net income, 60% will be paid out as dividends so dividend per share expected for next year is 2.7 * 0.6 = 1.62
Thus, value per share will be,
V = 1.62 / (0.15 - 0.028) = $13.278 rounded off to 13.28
Answer: $1,000,000
Explanation:
Risk impact assessment refers to the method of assessing the probabilities of a particular risk and its consequences in case they are realized.
Based on the question, since there's an estimate that a large ransomware attack would cause approximately $1,000,000 in damagez then the estimated threat impact is $1,000,000.
The Federal Reserve System controls the monetary policy in the United States. They influence short-term interest rates and also determine the size of the money supply. The Federal budget is very hard to balance and <span>has been a concern and is difficult to achieve. The President sends the budget to Congress who must approve it.
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Answer:
The correct answer is D
Explanation:
Product differentiation is the term which is described as the strategy of marketing which focuses on showing off the differences among the product or the competition and the business.
So, the firm or business who spend the highest percentage of the revenue on advertising the product are the firms which sell the highly differentiated goods.
Answer:
to maximize profit, farmer must use 0.208 pounds of fertilizers
Explanation:
For profit maximization, marginal revenue must be equal to marginal cost.
Here marginal product of fertilizer= 1-N/200
selling price per busher= $4
total marginal revenue= (1-N/200)× 4
Total cost of fertilizer= 1.2N
To maximize profit
Marginal cost= marginal revenue
1.2N= (1-N/200)× 4
4.8N= 1-N/200
N= 0.208 pounds
to maximize profit, farmer must use than 0.208 pounds of fertilizers