Answer: $4.70
Explanation:
The new earnings per share will be calculated thus:
Total Earnings = $10,800
Outstanding Shares = 2,500
Equity = $13,500
Per Share Value:
= Equity / Outstanding shares
= $13,500/2,500
= $5.4 per share
The number of shares that' will be bought by the excess cahs will be:
= 1100/5.4
= 203.70 shares
Number of shares outstanding after buyback will be:
= 2,500 - 203.70
= 2296.30
Earnings per share will then be:
= 10,800/2,296.30
= $4.70
Answer:
A Dominant Strategy
Explanation:
In game theory, a dominant strategy as the question states is a strategy that seeks to be the better strategy irrespective of what other players do. It is also a strategy that will always yield the highest payoff regardless of the actions of other players.
There are two types of strategic dominance:
A strictly dominant strategy will always provide greater utility to the player using it irrespective of the action or strategy of others
A weakly dominant strategy may not always give greater utility but the strategy strives to ensure that the same payoff or utility is attained equal to the strategy of other players and a greater payoff is attained wherever possible.
Answer: A: remain constant on a per-unit basis but change in total based on activity level
Explanation: A Variable cost is a cost an organisation incurs that is affected by fluctuations in production and so changes between given periods.
variable costs are not consistent but fluctuates in relation to the production activity of an organisation. Variable costs increases as production level increases and vise versa.
Costs associated with variable costs are those that contribute directly to the goods or service being offered by a business and therefore differ from period to period.
The total costs a company incurs are divided into Variable costs and Fixed costs. variable costs are costs incurred on raw materials, commission, labour, packaging and shipping while fixed costs are costs incurred on rent, salaries, repairs and maintenance, electricity etc.
Answer:
market to Book ratio 5.33
Explanation:
<u>Market Capitalization</u>
market price x shares outstanding
80 x 400,000,000 = 32,000,000,000 = 32 billions (short scale)
<u>Balance sheet:</u>
Assets - Liab
10 - (1 + 3) = 10 - 4 = 6B
<u>Market to Book Ratio</u>
32 / 6 = 5.33
Answer:
B. Firms that produce advertising trade in a "two-sided market".
Explanation:
It is a business model for economic exchange between two distinct user groups.