Brandon, the general manager of Pelantis International Hotel, promises Theodore, the director of marketing and sales of the hote
1 answer:
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Answer:
The appropriate solution is "$130,000".
Explanation:
The given values are:
No. of common shares outstanding
= 50,000
Dividend per share
= $1.80
No. of preferred shares outstanding
= 8,000
Dividend per share
= $5
Now,
The total dividend on common shares will be:
=
On substituting the values, we get
=
= ($)
The total dividend on preferred stock will be:
=
On substituting the values, we get
=
= ($)
Hence,
The total dividend paid by company will be:
=
=
= ($)
Thus the above is the correct answer.
Answer:
It should obtain at least: $ 17,363,986.04
Explanation:
we have several cash flow of different magnitude. As thisi s a finite sum of cash flow, we solve using present value of each lump sum using our WACC as discount rate:
Year Nominal Cash Flow Present Value
1 8,500,000.00 7,391,304.35
2 7,000,000.00 5,293,005.67
3 5,000,000.00 3,287,581.16
4 2,000,000.00 1,143,506.49
5 500,000.00 248,588.37
Total Present value 17,363,986.04