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Mekhanik [1.2K]
3 years ago
13

You notice that Coca-Cola has a stock price of $41.09 and EPS of $1.89. Its competitor PepsiCo has EPS of $3.90. But, Jones Soda

, a small batch Seattle-based soda producer has a P/E ratio of 35. Based on this information, what is one estimate of the value of a share of PepsiCo stock?
Business
1 answer:
hoa [83]3 years ago
4 0

Answer:

$84.79

Explanation:

For computing the value of a share of PepsiCo stock, first we have to determine the P/E ratio for Coca-cola which is shown below:

Price-earnings ratio = (Market price per share) ÷ (Earning per share)

                                   = $41.09 ÷ $1.89

                                   = $21.74

Now the value of a share for PepsiCo stock would be

= Price-earnings ratio × EPS

= $21.74 × $3.90

= $84.79

All other information which is given is not relevant. Hence, ignored it

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Hyper Tech employees were told to attend an upcoming mandatory meeting at which the CEO would be making an important announcemen
ser-zykov [4K]

Answer: A speculation

Explanation: A speculation is a form of information in widespread that doesn't have a solid proof. The information about the acquisition of another company by the employees has no solid proof therefore it's a speculation.

6 0
4 years ago
Assume that Schmidt Machinery Company had the standard costs reflected in Exhibit 14.5. In a given month, the company used 3,530
Goshia [24]

Answer:

price variance  $14,040 U

quantity variance  $ 5,650  F

rate variance          $  10,700  U

efficiency variance  $ 26,800 U

Explanation:

Missing information attached:

Purchase of Aluminium:

66 ending + 3,530 used - 46 beginning = 3,510

DIRECT MATERIALS VARIANCES

(standard\:cost-actual\:cost) \times actual \: quantity= DM \: price \: variance

std cost         $25.00

actual cost  $29.00

quantity             3,510 (purchase)

difference  $(4.00)

price variance  $(14,040.00)

(standard\:quantity-actual\:quantity) \times standard \: cost = DM \: quantity \: variance

std quantity             3756.00 (939 units x 4 pounds per unit)

actual quantity     3530.00

std cost                       $25.00

difference               226.00

quantity variance  $5,650.00

DIRECT LABOR VARIANCES

(standard\:rate-actual\:rate) \times actual \: hours = DL \: rate \: variance

std rate          $40.00

actual rate  $42.00

actual hours 5,350

difference  $(2.00)

rate variance  $(10,700.00)

(standard\:hours-actual\:hours) \times standard \: rate = DL \: efficiency \: variance

std  hours 4680.00

actual hours 5350.00

std rate  $40.00

difference -670.00

efficiency variance  $(26,800.00)

5 0
3 years ago
By offering more generous unemployment insurance programs, European countries can expect Group of answer choices longer periods
natulia [17]

Answer:

Longer periods of unemployment for their workers.

Explanation:

Unemployment is when people who are willing and able work do not have jobs

Types of unemployment

structural unemployment is an unemployment that occurs as a result of changes in the economy. These changes can be as a result of changes in technology, polices or competition. Structural unemployment tends to be permanent.  

Frictional unemployment:  the period of time a person is unemployed from the period he leaves his current job and the time he gets another job. Eg. when a real estate agent who leaves a job in Texas and searches for a similar, higher-paying job in California.

Voluntary unemployment: e.g. worker at a fast-food restaurant who quits work and attends college.

Cyclical unemployment: it occurs as a result of fluctuations in the economy. Unemployment would be high in a downturn and low in a boom  

If a government gives generous unemployment insurance programs, there would be less incentive to find jobs because one of the main reasons why people would want to work is to have money. If the government provides generous pay to the unemployed, there would be less motivation to work and unemployment increases

6 0
3 years ago
It is now January 1. You plan to invest a total of 5 consecutive, equal deposits, one every 6 months, with the first payment bei
FinnZ [79.3K]

Answer:

$2,848.94

Explanation:

first of all, we must determine the amount of money that we need to have in our account in order to be able to withdraw $25,000 in 10 years.

You will start making your semiannual deposits today and they will end in exactly 2 years, so we need to find out the present value of the $25,000 in two years:

PV = $25,000 / (1 + 3%)¹⁶ = $15,579.17

that is now the future value of our annuity due:

FV = semiannual deposit x FV annuity due factor (3%, 5 periods)

$15,579.17 = semiannual deposit x 5.46841

semiannual deposit = $15,579.17 / 5.46841 = $2,848.94

4 0
3 years ago
In​ economics, money is defined as A. the total value of​ one's assets minus the total value of​ one's debts, in current prices.
dem82 [27]

Answer:

D. any asset people generally accept in exchange for goods and services.

Explanation:

Money is any asset this is generally accepted by people in the exchange of goods and services.

Characteristics of money

1. Durability: it should retain its usefulness for a long time.

2. Stable - it should be able to retain its value

3. Portable - it should be easy to transport money from one location to another

4. Recognisable- it should be generally recognised by the population as money.

Uses of money

1. Money can be used as a store of value.

2. It can be used as a unit of account. It should be able to be used to value goods and services.

3. Medium of exchange. It can be used to exchange for goods and services.

7 0
3 years ago
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