Answer:
Intrinsic value: $ 45.19290274
The stock is undervalued as is selling for less.
Explanation:
We use the gordon model to solve for the intrinsic value of the share.
we must solve for the grow rate like it was an interest rate:
<u>grow rate: </u>
![2.00 \times (1+g)^{10} = 3.16\\\sqrt[10]{\frac{3.16}{2.00}} -1 = g](https://tex.z-dn.net/?f=2.00%20%5Ctimes%20%281%2Bg%29%5E%7B10%7D%20%3D%203.16%5C%5C%5Csqrt%5B10%5D%7B%5Cfrac%7B3.16%7D%7B2.00%7D%7D%20-1%20%3D%20g)
g = 0.046804808
<u>dividends one year from now:</u>
3.16 x (1 + 0.046804808) = 3.307903193
Now we calculate the instrinsic value:
Value: $ 45.19290274
The stock is undervalued as is selling for less.
Answer:
The last one.
We had to ration the food to make it last the whole week.
Explanation:
Look up the meaning of ration and it'll make sense.
The type of business that the uncle is said to have would be described as an entrepreneurial business.
<h3>What is an entrepreneurship?</h3>
This is used to refer to the business that is owned by a single person. This person is called the entrepreneur who gets to enjoy either the profit or the loss that may occur in the business that he is operating.
The question says that the uncle has a chain of these businesses across three states, we can say that the uncle is an entrepreneur.
Read more on entrepreneurship here: brainly.com/question/353543
#SPJ1
Answer:
A.
Debit Unearned Revenue $11,250
Credit Sales $11,250
Explanation:
B. It is an income for the company. Prepaid subscription is an expense for the company. Therefore, it is incorrect.
C. It is contradictory as the company already recorded the first quarter transaction. Therefore, Unearned revenue should be debit. So, it is also incorrect.
D. According to the revenue recognition, revenue is recognized when they are earned. Therefore, the company acquired the cash when the company received last year. So, it is incorrect.
E. Again, cash cannot be credit. Therefore, it is incorrect.
A is the correct answer. As, when the company received the payment, unearned revenue was credit. As the income is now recorded for the first quarter, $(45,000/4) = $11,250 of unearned revenue becomes earned. So, it is debit. Since it is a sale of a company, the sale becomes credit.
B because this is common sense
